Sec.  90.1019   Eligibility for partitioned licenses.

   (a)   Eligibility.  Parties  seeking  approval  for  partitioning  and
   disaggregation shall request authorization for partial assignment of a
   license pursuant to  Sec. 1.948 of this chapter. The Commission will consider
   applications that propose combinations of partitioning and disaggregation.

   (1) Phase I non-nationwide licensees may apply to partition their licensed
   geographic  service area or disaggregate their licensed spectrum after
   constructing their systems and placing their in operation or commencing
   service in accordance with the provisions in  Sec. 90.725(f) of this part.

   (2) Phase I nationwide licensees may apply to partition their licensed
   geographic  service area or disaggregate their licensed spectrum after
   constructing at least 40 percent of the geographic areas designated in their
   applications in accordance with the provisions in  Sec. 90.725(a) of this part.

   (3) Phase II licensees may apply to partition their licensed geographic
   service area or disaggregate their licensed spectrum at any time following
   the grant of their licenses.

   (4) Phase I and Phase II licensees authorized to operate on Channels 161
   through 170 or Channels 181 through 185 are not eligible to partition their
   geographic service area or disaggregate their licensed spectrum.

   (b) Partitioning. In the case of partitioning, applicants and licensees must
   file FCC Form 603 pursuant to  Sec. 1.948 and list the partitioned service area
   on  a  schedule to the application. The geographic coordinates must be
   specified in degrees, minutes, and seconds to the nearest second of latitude
   and longitude and must be based upon the 1983 North American Datum (NAD83).
   In  the  case where an FCC-recognized service area or county lines are
   utilized, applicants need only list the specific area(s) through use of FCC
   designations or county names that constitute the partitioned area.

   (c) License term. The license term for a partitioned license area and for
   disaggregated spectrum shall be the remainder of the original licensee's
   license term.

   (d) Construction requirements. (1) Requirements for partitioning. Parties
   seeking authority to partition must meet one of the following construction
   requirements:

   (i)  The  partitionee  may certify that it will satisfy the applicable
   construction requirements set forth in  Sec.  Sec. 90.767 or 90.769 of this part, as
   applicable, for the partitioned license area; or

   (ii)  The  original  licensee may certify that it has or will meet its
   five-year construction requirement and will meet the ten-year construction
   requirement, as set forth in  Sec.  Sec. 90.767 or 90.769 of this part, as applicable,
   for the entire license area. In that case, the partitionee must only satisfy
   the requirements for “substantial service,” as set forth in  Sec. 90.743(a)(1) of
   this part, for the partitioned license area by the end of the original
   ten-year license term of the licensee.

   (iii)  Failure  by any partitionee to meet its respective construction
   requirements will result in the automatic cancellation of the partitioned
   license without further Commission action ( see  Sec. 1.946).

   (2)  Requirements  for  disaggregation.  Parties  seeking authority to
   disaggregate spectrum must certify in FCC Form 601 which of the parties will
   be  responsible  for  meeting  the five-year and ten-year construction
   requirements for the particular market as set forth in  Sec. 90.767 or  Sec. 90.769,
   as applicable. Parties may agree to share responsibility for meeting the
   construction requirements. If one party accepts responsibility for meeting
   the construction requirements and later fails to do so, then its license
   will cancel automatically without further Commission action. If both parties
   accept responsibility for meeting the construction requirements and later
   fail to do so, then both their licenses will cancel automatically without
   further Commission action.

   [ 63 FR 49295 , Sept. 15, 1998, as amended at  63 FR 68973 , Dec. 14, 1998;  65 FR 39560 , June 27, 2000]