Review of the Commission's Rules Governing the 896-901/935-940 MHz Band

FEDERAL COMMUNICATIONS COMMISSION 47 CFR Parts 2, 27, and 90 [WT Docket No. 24-99; FCC 26-9; FR ID 338008] Review of the Commission's Rules Governing the 896-901/935-940 MHz Band AGENCY: Federal Communications Commission. ACTION: Final rule. SUMMARY: In this document, the Federal Communications Commission (Commission or FCC) continues its efforts to expand broadband access in the 896-901/935-940 MHz band. This Report and Order now makes broadband available across all ten megahertz of this band. This Report and Order creates three options for 900 MHz licenses: a narrowband license; paired three-megahertz channels, called 3/3 broadband licenses: and paired five-megahertz channels, called 5/5 licenses. DATES: This final rule is effective April 30, 2026. FOR FURTHER INFORMATION CONTACT: Morgan Mendenhall of the Wireless Telecommunications Bureau, at Morgan.Mendenhall@fcc.gov or 202-418-0154. SUPPLEMENTARY INFORMATION: This is a summary of the Commission's Report and Order in WT Docket 24-99, FCC 26-9, adopted on February 18, 2026, released on February 19, 2026. The full text of this document is available for public inspections and can be downloaded at https://www.fcc.gov/document/fcc-expands-broadband-spectrum-opportunities-900-mhz-band-0. Alternative formats are available for people with disabilities (Braille, large print, electronic files, audio format) by sending an email to fcc504@fcc.gov or calling the Commission's Consumer and Governmental Affairs Bureau at (202) 418-0530 (voice). Synopsis I. Introduction 1. In this Report and Order, we maximize the potential of the 896-901/935-940 MHz band (900 MHz band) by enabling broadband deployment on all ten megahertz of the band. The adopted rules allow for eligible existing 900 MHz licensees to transition to a paired five-megahertz broadband channel license (5/5 broadband license). The revised 900 MHz regulatory framework also provides opportunities to maintain narrowband and paired three-megahertz broadband segment uses in the band to meet the needs of incumbents. The Report and Order builds upon the Commission's previous efforts to realign the band for paired three-megahertz broadband channel licenses through a market-driven transition. 2. Under these rules, the 900 MHz band can be used in a given county in any of three configurations: (1) a “legacy” configuration consisting of ten megahertz of 12.5 kHz frequency pairs grouped into ten-channel blocks that alternate between the Specialized Mobile Radio (SMR) and site-based Business and Industrial/Land Transportation (B/ILT) services; (2) one six-megahertz broadband segment consisting of two paired three-megahertz channels and two narrowband segments with a total of 159 narrowband channels; or (3) ten megahertz of broadband consisting of two paired five-megahertz channels and no reserved narrowband channels. 3. The legacy configuration comprises 20 wideband channels interleaved with 200 narrowband channels. More specifically, the legacy configuration consists of ten megahertz of 399 narrowband (12.5 kilohertz) frequency pairs grouped into 10-channel blocks that alternate between SMR blocks that are site-based or geographically licensed by Major Trading Area and B/ILT blocks in which channels are assigned on a site-by-site basis. The licensee may use the wideband channels in a narrowband configuration or may combine contiguous channels to create one or more wideband channels. Although these channels are predominantly used in narrowband configurations at this time, their use in a wideband configuration would likewise be maintained under the legacy configuration. Any references to maintaining narrowband operations or opportunities herein should therefore be read as inclusive of maintaining the use of wideband channels under the legacy configuration. II. Background A. Allocation and Use 4. 900 MHz Band. The 900 MHz band is currently allocated for Fixed, Land Mobile, and Mobile Except Aeronautical Mobile. Specifically, the 897.5-900.5/936.5-939.5 MHz portion of the band—commonly referred to as the 3/3 900 MHz broadband segment—is allocated on a co-primary basis for Fixed and Mobile Except Aeronautical Mobile and is governed by parts 27 and 90 of the Commission's rules. The 896-897.5/935-936.5 MHz and 900.5-901/939.5-940 MHz portions of the band—also referred to as the narrowband segments—are allocated on a co-primary basis for Fixed and Land Mobile and are governed by part 90 of the Commission's rules. 5. Adjacent Bands. The 900 MHz band is situated immediately above spectrum that is divided between the commercial Air-Ground Radiotelephone Service, which uses the 894-896 MHz segment as the downlink for high-speed communications services to the public onboard aircraft, and common carrier and private fixed point-to-point links in the 932.5-935 MHz segment. The 900 MHz band is immediately below the Narrowband Personal Communications Service (Narrowband PCS), which uses spectrum at 901-902/940-941 MHz, most commonly for two-way paging and telemetry. The Table of Frequency Allocations also indicates limited adjacent federal spectrum use. B. Procedural History 6. 900 MHz Licensing Freeze. In 2018, the Wireless Telecommunications Bureau (Bureau or WTB) announced a freeze on the acceptance of applications for new or expanded 900 MHz band operations in order to maintain a stable spectral landscape while the Commission determined how to proceed with respect to the band. WTB modified the freeze in 2019 to permit incumbents to exchange frequencies at the same location ( i.e., acquire proposed narrowband segment frequencies to replace proposed vacated broadband segment frequencies), provided that the modification did not increase that incumbent's net number of licensed frequencies. In 2020, the Commission partially lifted the freeze to permit covered incumbents to file applications to relocate their operations to different frequencies or locations and transition 900 MHz narrowband operations. 7. 2020 Report and Order. In the 3 /3 900 MHz Report and Order, the Commission realigned the 900 MHz band to make available six of the band's ten megahertz for the deployment of broadband services and technologies. Although the Commission had sought comment on establishing a paired 5/5 broadband segment, it found that adopting a paired 5/5 broadband segment was premature and that the public interest would be best served by providing 900 MHz licensees with the option of continuing long-standing narrowband operations. The Commission stated that it would monitor the progress of 3/3 broadband deployments and any continuing narrowband requirements before addressing whether future authorization of a 5/5 broadband segment is in the public interest. 8. To facilitate a rapid transition to 3/3 broadband deployment, the 3/3 900 MHz Report and Order established a negotiation-based mechanism that, where private agreements are reached, would make available on a county-by-county basis six megahertz of low-band spectrum for the development of broadband technologies and services, while reserving the remaining four megahertz of the band for continued narrowband operations. The Commission implemented a framework whereby it would issue new 3/3 broadband licenses to applicants meeting certain eligibility requirements. The Commission also created rules that permit a 900 MHz broadband licensee to relocate mandatorily a limited percentage of covered incumbents—except those with complex systems—from the new broadband segment by paying reasonable relocation costs, including providing comparable facilities. In addition, the Commission adopted operational and technical rules to minimize harmful interference to narrowband operations. The Commission also issued the accompanying Order of Proposed Modification related to AAR's 900 MHz nationwide ribbon license to prevent disruptions to the railways, enhance rail safety, and fully clear a virtually nationwide incumbent from the 3/3 broadband segment. 9. Petition for Rulemaking. On February 28, 2024, ten entities filed a petition for rulemaking (Petition) asking the Commission to adopt a framework that would increase the existing broadband allocation in the 900 MHz band by providing an option for 5/5 broadband networks in the band. Under their proposed plan, Petitioners maintained that narrowband incumbents would remain protected under the existing framework in the Commission's rules and would only vacate an existing narrowband segment to allow 5/5 broadband operations if the relevant parties made a private agreement to do so. Petitioners suggested that no changes are necessary to the current harmful interference, technical, or performance requirement rules to implement 5/5 broadband operations. Likewise, Petitioners proposed that, as with the current rules, the licensee of an authorization for a 5/5 broadband segment could be required to make any necessary anti-windfall payments to the general fund of the U.S. Treasury. 10. WTB Public Notice. On April 2, 2024, WTB sought comment on the Petition and the request that the Commission provide an option for 5/5 broadband networks in the 900 MHz band through a voluntary transition process. In particular, WTB sought comment on whether existing rules would be sufficient to protect incumbent narrowband operations from harmful interference, as well as whether those rules would be sufficient to protect operations in adjacent spectrum bands. The Commission received 31 comments and reply comments and 16 ex parte filings. Commenting parties generally support the proposal, noting the benefits that additional broadband could bring to licensees in the band, including increasing the use of standard Long Term Evolution (LTE) and 5G technologies and allowing for potential new use cases, such as smart-grid technologies. 11. 5/5 900 MHz Notice of Proposed Rulemaking. On January 16, 2025, the Commission released the 5/5 900 MHz NPRM, which sought comment on a proposed voluntary, negotiation-based process to transition the entire ten megahertz in the 900 MHz band for broadband. The proposal would allow the entire band to transition to broadband in counties where a prospective broadband licensee and incumbent licensees reach private agreements to do so. In counties where no such agreement was reached, the proposed framework would maintain the option of narrowband or six-megahertz broadband segment operations pursuant to the legacy and 3/3 configurations to meet the needs of incumbents in the band. Specifically, the Commission sought comment on whether the rules governing the 3/3 broadband segment—including eligibility criteria, application requirements and procedures, licensing and operating rules, and technical requirements—would be appropriate for effectuating a ten-megahertz broadband licensing framework. The Commission proposed that the 900 MHz band would have three options, depending on the license(s) held and the state of transition of the band in a particular county: (1) continued narrowband operations across the band; (2) continued narrowband operations in the narrowband segments (896-897.5/935-936.5 MHz and 900.5-901/939.5-940 MHz) and broadband operations in the 3/3 broadband segment (897.5-900.5/936.5-939.5 MHz); or (3) broadband operations throughout the entire 900 MHz band. Finally, the Commission sought comment on whether the Commission should continue the 900 MHz band freeze and, in an order accompanying the 5/5 900 MHz NPRM, the Commission delegated authority to WTB to modify or terminate the freeze. 12. Record. The Commission received 21 comments, 10 reply comments, and 13 ex parte filings from utilities, railroad industry stakeholders, equipment manufacturers, and critical infrastructure organizations. Several commenters support the Commission's proposal to transition to a 5/5 MHz broadband band plan, emphasizing that it is vital for utilities and critical infrastructure sectors to meet increasing demands for secure, private wireless networks capable of supporting advanced telecommunications needs and innovative applications. Anterix and various utility stakeholders underscore the necessity of maintaining narrowband options and voluntary transitions without mandatory relocations. Stakeholders including the Edison Electric Institute (EEI) and Lower Colorado River Authority (LCRA) highlight the potential benefits of the proposed 5/5 MHz allocation, particularly for enhancing mission-critical communications, grid modernization efforts, and security. 13. In contrast, some commenters raise concerns with the prospect of 5/5 broadband licenses in the 900 MHz band. AAR expresses unease regarding the impact of the proposed broadband expansion on railroad communications and emphasizes the need for railroads to transition out of the band altogether in order for the 5/5 expansion to proceed. AAR notes the significant financial and operational burdens associated with its ongoing relocation of existing narrowband operations, and it estimates relocation costs upwards of $41 million, and an additional $69 million for implementing next-generation services. In a reply jointly filed by AAR and the American Short Line and Regional Railroad Association (ASLRRA), AAR and ASLRRA urge the Commission not to finalize the rule without providing equivalent spectrum for the railroads to continue operations (configured by the Commission into a single nationwide geographic ribbon license), full compensation for transition costs, and reasonable timelines for implementation, plus a 20-year guarantee against further relocation. Ondas and Siemens also express concerns about the potential impact of a 5/5 broadband license option on railroad operations. Adjacent band users Gogo Business Aviation LLC (Gogo) and Space Data Corporation (Space Data) raise concerns about the effects of 5/5 broadband on their operations. III. Discussion A. Enabling Increased Broadband Deployment in the 900 MHz Band 14. Through this Report and Order, the Commission enables broadband on all ten megahertz of the 900 MHz band, providing enhanced spectrum capacity to meet a wider range of broadband needs. We adopt a negotiation-based mechanism that, where private agreements are reached, will make available on a county-by-county basis a full ten megahertz of spectrum for the deployment of broadband technologies and services. The expansion adopted today has strong support from the enterprise community and energy utilities that have been the predominant users of narrowband spectrum in the 900 MHz band and are increasingly transitioning to 900 MHz broadband networks. 15. The successful transition of the band to accommodate a 3/3 broadband segment demonstrates the significant demand for leveraging underutilized 900 MHz spectrum for broadband technology. Implementation of the 3/3 transition has been underway since 2021 and has resulted in the deployment of private wireless broadband networks in the 900 MHz band across 23 states. In fact, 900 MHz broadband spectrum has been so highly sought after that Anterix and a number of utilities with broadband networks petitioned the Commission, requesting the removal of regulatory barriers to deploy broadband across the entire ten megahertz in the band. Many commenters express enthusiasm for the Commission's proposal to allow for broadband across the full ten megahertz of the 900 MHz band. Commenters suggest that increasing broadband opportunities would provide utilities and other enterprise entities with the spectrum needed for higher speed and lower latency networks that have the ability to support known and yet-to-be-identified use cases. 1. Band Realignment To Create a 5/5 900 MHz Broadband Segment on a County-by-County Basis 16. We find it in the public interest to adopt the proposal to amend the Commission's rules and expand the existing 900 MHz broadband allocation to the full ten megahertz of spectrum. This revised allocation will enable paired five-megahertz channels at 896-901/935-940 MHz on a county-by-county basis. The transition to 5/5 broadband will be optional and in a manner that ensures the protection of incumbent and adjacent band licensees. We conclude that our action furthers important goals of the Communications Act of 1934, as amended (the Act), including improving the efficiency of spectrum use. Specifically, we believe that expansion of the broadband capacity available can address the critical demand and growing need for private broadband networks in the 900 MHz band, allowing users to leverage broadband capacity for more advanced and robust networks. We further conclude that the flexible use of the 900 MHz band remains appropriate under section 303(y) of the Act. 17. We acknowledge the concerns expressed by commenters regarding the impact of a 5/5 900 MHz option on the railroads' ongoing deployment of mission-critical safety applications in their nationwide license in the narrowband segments (at 896-896.125/935-935.125 MHz). Further, some commenters urge that final rules for the 5/5 broadband segment “should not be adopted until broadband licensees and incumbents reach agreements that include specific, necessary assurances.” We find it impractical to delay the adoption of this Report and Order for private party negotiations, and decline to do so. We note that the Commission's actions here remove the regulatory barriers that have made a 5/5 broadband license an impossibility. We also make clear that all 5/5 broadband license acquisitions and exchanges in the 896-897.5/935-936.5 MHz and 900.5-901/939.5-940 MHz portions of the band—referred to as the narrowband segments in the 3/3 configuration—will be completely voluntary and market-driven. 18. The record shows that expansion of the 900 MHz broadband allocation will continue to encourage innovation and stimulate investment in new wireless technologies available to utilities, critical infrastructure organizations, and other users of private broadband networks. It will create additional market-driven opportunities for robust broadband networks that fully support critical communication systems and aid in ensuring the low latency and ultra-high reliability required by electric and other utilities while maintaining the narrowband option for B/ILT and SMR spectrum users. The expansion will facilitate services and applications, such as broadband data, voice services, text messaging, push-to-talk, and the capability to handle communications from large numbers of small Internet of Things (IoT) devices like sensors and actuators. 19. Going forward, 900 MHz licensees will have three options for utilizing spectrum, depending on the license held and the state of transition of the band in a particular county: (1) continued narrowband operations across the band; (2) continued narrowband operations in the narrowband segments (896-897.5/935-936.5 MHz and 900.5-901/939.5-940 MHz) and broadband operations in the 3/3 broadband segment (897.5-900.5/936.5-939.5 MHz) on a county-by-county basis; or (3) broadband operations throughout the entire band on a county-by-county basis. 20. We conclude that it is in the public interest to follow a county-by-county approach to the transition to 5/5 broadband, and that all three band configurations can successfully coexist in adjacent counties, supported by geographic and other interference protection provisions and the transition plans required to obtain a broadband license. Commenters widely support the option for 5/5 broadband on a county-by-county basis. For example, LCRA strongly believes that it is possible for long-standing narrowband operations to continue under the proposed realignment because the transition will be entirely voluntary and only in those markets where all affected parties have reached agreement. As LCRA notes, a county-by-county transition scheme has enabled utilities to obtain 3/3 900 MHz broadband licenses and has facilitated the relocation of narrowband incumbents to appropriate alternative spectrum. Under the rules we adopt today, any transition to 5/5 broadband licenses may only take place after all relevant licensees reach agreements to minimize disruption to services, maintain key safety operations, and establish appropriate interference protection. Further, it will facilitate compliance to follow the path established with the transition to 3/3 broadband licenses in the band. Likewise, as discussed in further detail in III.C.1., to adopt an inconsistent geographic area could create unnecessary hurdles to 5/5 broadband deployment, such as those caused by overlapping license areas. 21. Adjacent Band Coexistence. Some commenters raise concerns about how the Commission will ensure that Air-Ground Radiotelephone Service and Narrowband PCS operations are protected from 5/5 broadband operations. Such concerns are addressed in greater detail below, but in short, the technical and operational rules adopted herein have been designed to promote effective coexistence between any new 5/5 900 MHz broadband operations and neighboring incumbents. 22. In Band Coexistence. We conclude that it is possible for long-standing narrowband operations to both coexist and, if permitted under the freeze, expand operations alongside 5/5 broadband operations in neighboring counties. The technical rules adopted today are designed to prevent harmful interference between users of the 900 MHz band, as well as between users of the 900 MHz band and users of adjacent bands. Balancing the operational requirements of both broadband and narrowband users in the 900 MHz band has been successfully underway for several years. Nevertheless, should harmful interference occur, both the narrowband incumbent and the broadband segment licensee will be required to work in good faith to resolve such interference issues. 23. Revised Allocation. We allocate the entire 896-901/935-940 MHz band as Mobile Except Aeronautical Mobile Service and remove the Land Mobile allocation. We retain the co-primary “Fixed” allocation. This allocation allows for all three configurations of the band. Depending on the status of the band in a given county, service and technical rules will support continued narrowband operations either across the band or in the narrowband segments of the 3/3 configuration. The Mobile Except Aeronautical Mobile Service allocation enables continued narrowband operations, where applicable, because Mobile encapsulates Maritime Mobile, Aeronautical Mobile, and Land Mobile. More specifically, we designate 896-901/935-940 MHz as a Miscellaneous Wireless Communications Service governed by part 27 of the Commission's rules and include informational references to “Wireless Communications (27)” and “Private Land Mobile (90)” in the Table of Frequency Allocations. We also update US footnotes 116 and 268 in the Federal Table so the references in the two footnotes are consistent with the revised allocation we adopt today. 2. Negotiation-Based Transition 24. A market might transition to a 5/5 broadband license configuration in one of two ways: either from a legacy 900 MHz band plan configuration or from a 3/3 broadband configuration. In either case, the transition of narrowband operations in the 896-897.5/935-936.5 MHz and 900.5-901/939.5-940 MHz portions of the band—the narrowband segments in the 3/3 configuration—must be completely voluntary. In contrast, if a certain threshold is met, a prospective 5/5 broadband licensee may invoke mandatory relocation in the 897.5-900.5/936.5-939.5 MHz portion of the band—the broadband segment in the 3/3 configuration. We conclude that it is in the public interest to adopt the proposal to authorize a market-driven, voluntary exchange process whereby the 5/5 900 MHz broadband license could be obtained from the Commission after private negotiations between the prospective 5/5 broadband licensee and all relevant incumbents. This method builds on the successful track record of the 3/3 transition. 25. Commenters overwhelmingly support a voluntary relocation process for transitioning the 896-897.5/935-936.5 MHz and 900.5-901/939.5-940 MHz portions of the band—the narrowband segments in the 3/3 configuration—to a 5/5 broadband segment, with minimal exceptions. Anterix highlights that the 900 MHz band transition is unique in that no third party oversight and adjudication has been necessary here and band clearing is completed in a reasonable amount of time based on mutually agreeable negotiated terms. Commenters call “[t]his voluntary, cost-saving approach to spectrum allocation . . . a hallmark of good policymaking” and believes that “through market-based, arms-length negotiations, the parties involved will be able to reach mutually agreeable terms to create a public good—a win-win-win outcome.” Other commenters agree on the importance of a voluntary framework and express that it should be a key feature of the rules. 26. Regardless of the initial configuration of the band in a particular county, we allow prospective 5/5 broadband licensees to invoke mandatory relocation of incumbents in the 897.5-900.5/936.5-939.5 MHZ portion of the band, consistent with the rights of 3/3 broadband licensees. Under the current rules for 3/3 licenses, an applicant can receive a 3/3 broadband license in a county only if it (1) holds spectrum in the broadband segment, (2) agrees to relocate, or acquire spectrum held by, covered incumbents, and/or (3) demonstrates how it will provide interference protection to covered incumbents' operations collectively totaling at least 90% of the impacted site-based and geographically licensed channels in the broadband segment. With respect to incumbent licensees in channels that did not contribute to the 90% eligibility threshold, a 3/3 broadband licensee then has the right to invoke mandatory relocation from the broadband segment both of covered incumbents' remaining site-based channels in a given county and within 70 miles of the county boundary, and of geographically licensed channels where the license area completely or partially overlaps the county, with an exception for complex systems. We find that, in the interests of fairness, a 5/5 broadband applicant starting from the legacy configuration should not be disadvantaged vis-Ã -vis a 5/5 applicant that holds a 3/3 broadband license. Thus, a 5/5 broadband applicant that does not currently hold a 3/3 broadband license may invoke mandatory relocation of covered incumbents in the 897.5-900.5/936.5-939.5 MHz portion of the band consistent with the 3/3 broadband segment mandatory relocation rules. 27. We find it in the public interest to adopt a completely voluntary transition for the 896-897.5/935-936.5 MHz and 900.5-901/939.5-940 MHz portions of the band (referred to as the narrowband segments in the 3/3 configuration), consistent with the Commission's proposal and the feedback of the majority of commenters in this proceeding. A 5/5 broadband applicant must negotiate a full, voluntary clearing or protection of all incumbents in the 896-897.5/935-936.5 MHz and 900.5-901/939.5-940 MHz portions of the band. While San Diego Gas & Electric (SDG&E) argues that mandatory relocation is appropriate because it “ensure[s] that the expanded 5/5 MHz broadband transition is completed expeditiously and efficiently” and “disincentivize[s] unnecessary incumbent holdouts,” we decline to deviate from the Commission's proposal to solely establish voluntary relocation in the 896-897.5/935-936.5 MHz and 900.5-901/939.5-940 MHz portions of the band (referred to as the narrowband segments in the 3/3 configuration). 28. In addition, to reflect the existence of both the 3/3 and 5/5 broadband segments in the 900 MHz band, we adopt a revised definition of “covered incumbents.” The revised definition will read as follows: “Any 900 MHz site-based licensee in the 900 MHz band that is required under § 90.621(b) of this chapter to be protected by a 3/3 or 5/5 900 MHz broadband licensee (as applicable) with a base station at any location within the county, or any 900 MHz geographic-based SMR licensee in the 3/3 MHz broadband segment or 5/5 900 MHz frequency range, as applicable, whose license area completely or partially overlaps the county.” 29. AAR currently holds a nationwide ribbon license for use of a paired wideband 125-kilohertz channel at 896-896.125/935-935.125 MHz. The frequency range for this AAR nationwide ribbon license is within the 896-897.5/935-936.5 MHz portion of the band—the first of the two narrowband segments in the 3/3 configuration—and, as such, the license can be moved as a result of a voluntary negotiation but mandatory relocation of this license is prohibited. This nationwide ribbon license covers a 140-mile wide swath of the railroad rights-of-way across a majority of CONUS. We believe that there is a clear benefit in removing the regulatory barriers and enabling broadband on all ten megahertz of the 900 MHz band. The rules we adopt today leave it up to the marketplace to determine which licensees, including AAR, may or may not be relocated. If incumbent holdings prevent the creation of a 5/5 broadband license, the existing 900 MHz operations can continue in the legacy or 3/3 broadband configuration of the band. We conclude that it is in the public interest for the Commission to adopt a framework that would allow the transition of the entire 900 MHz band to broadband. 3. Eligibility for a 5/5 900 MHz Broadband License 30. To effectuate the framework we are adopting today, we conclude that the eligibility requirements for a 5/5 broadband license will largely mirror the eligibility requirements for a 3/3 broadband license, with a few distinctions. This framework is supported by commenters, who generally believe that the existing 3/3 requirements have functioned well in advancing the 3/3 broadband transition. 31. The eligibility rule that we adopt for a 5/5 broadband license has three elements. Specifically, we adopt the proposal that in order for an applicant to be eligible for a 5/5 broadband license in a given county, it must: (1) hold the licenses for more than 50% of the total amount of licensed 900 MHz spectrum—900 MHz SMR (site-based or geographically licensed), B/ILT (site-based), or 3/3 900 MHz broadband spectrum—for the relevant county, including credit for spectrum included in an application filed with the Commission to relocate, cancel the license of, or acquire spectrum held by, covered incumbents; (2) demonstrate that, as it pertains to the 897.5-900.5/936.5-939.5 MHz portion of the band, the prospective licensee either: (a) holds a 3/3 broadband license in the relevant county; or (b) itself holds, or has reached an agreement to clear through acquisition of spectrum, cancellation of licenses, or relocation of covered incumbents, or has demonstrated how it will provide harmful interference protection to, 90% or more of covered incumbents' site-channels in that portion of the band in the county and within 70 miles of the county boundary, and geographically licensed channels where the license area completely or partially overlaps the county; and (3) demonstrate that, as it pertains to the 896-897.5/935-936.5 MHz and 900.5-901/939.5-940 MHz portions of the band, it holds the licenses or has reached an agreement to clear all covered incumbent licenses through acquisition, cancellation, or relocation or demonstrates how it will provide harmful interference protection to all covered incumbent licensees collectively holding licenses in the 896-897.5/935-936.5 MHz and 900.5-901/939.5-940 MHz portions of the band (narrowband segments in the 3/3 configuration) in the county and within 70 miles of the county boundary and holding geographically licensed channels where the license area completely or partially overlaps the county. 32. First Element: 50% Threshold. A 5/5 broadband applicant can rely on either its 3/3 broadband license or its 900 MHz SMR and B/ILT spectrum to meet the 50% threshold in the relevant county. The key difference between the 5/5 and 3/3 900 MHz broadband opportunities is that the starting point for a 5/5 license may be either the legacy configuration or a 3/3 broadband segment configuration. This difference is reflected in the way the 50% threshold eligibility rule is framed. Several commenters express their support for this slight variation between the 3/3 and 5/5 eligibility requirements. Commenters support this framework, which would permit a 3/3 broadband licensee to be eligible to meet the 50% spectrum threshold in a relevant county. Allowing a 5/5 broadband applicant to meet this specific eligibility requirement by holding a 3/3 broadband license will ensure that an existing 3/3 broadband licensee may expand its broadband operations if it otherwise meets the eligibility criteria. However, we do not require a sequential process whereby a prospective 5/5 broadband applicant would first be required to obtain a 3/3 broadband license. We agree with Anterix that requiring a 3/3 broadband license as a prerequisite would be inefficient and delay overall deployment of broadband facilities. 33. Second Element regarding the 897.5-900.5/936.5-939.5 MHz portion of the band. The second element of eligibility requires that a prospective 5/5 broadband licensee either hold a 3/3 broadband license, control (via direct holding of licenses or negotiated relocation), or provide protection for at least 90% of the licensed spectrum in the 897.5-900.5/936.5-939.5 MHz portion of the band, measured by site-channels. The provisions for the 90% threshold are identical to the corresponding 3/3 broadband licensing rules—the prospective 5/5 licensee can hold spectrum directly, or reach an agreement with covered incumbents in the 897.5-900.5/936.5-939.5 MHz portion of the band to acquire spectrum held by or protect covered incumbents. This element also provides for limited instances of mandatory relocation. 34. Third Element regarding the 896-897.5/935-936.5 MHz and 900.5-901/939.5-940 MHz portions of the band. This third element requires that a prospective 5/5 broadband licensee either hold licenses in the 896-897.5/935-936.5 MHz and 900.5-901/939.5-940 MHz portions of the band or reach agreements with covered incumbents in the 896-897.5/935-936.5 MHz and 900.5-901/939.5-940 MHz portions of the band to facilitate 5/5 broadband operations in the band. The key difference between the second and the third element—other than the frequency range—is that the prospective broadband licensee may not invoke mandatory relocation in the 896-897.5/935-936.5 MHz and 900.5-901/939.5-940 MHz portions of the band. [The 896-897.5/935-936.5 MHz and 900.5-901/939.5-940 MHz portions of the band are also commonly referred to as the narrowband segments of the band in the 3/3 configuration.] 35. Cancellation. For the most part, the second and third elements of the eligibility rule we adopt today mirror the 3/3 broadband segment license eligibility rule. One difference between the existing 3/3 eligibility rule and the 5/5 eligibility rule we adopt today is the inclusion of license cancellation in the second and third elements. Numerous commenters express their support for this additional transition mechanism. We agree that there are benefits to this approach and add “cancellation” to the list of clearing mechanisms for both the 3/3 and the 5/5 broadband licenses. This will provide 900 MHz broadband applicants with an additional negotiation mechanism to clear a covered incumbent in the relevant county, whereby the incumbent could agree to cancel its 900 MHz license(s) in lieu of selling the license(s) or relocating. 36. Generally. In addition, we take this opportunity to make non-substantive editorial changes to the rules adopted by the Commission in the 3/3 900 MHz R&O and to the rules proposed in the 5/5 900 MHz NPRM. No substantive change is intended or should result from the revisions; the changes serve to provide further clarity and consistency in the rules. Because these editorial changes are non-substantive, they have no impact on regulated entities or the public, and we find good cause that notice and comment are unnecessary pursuant to 5 U.S.C. 553(b)(B). 4. Application Requirements and Procedures for a 5/5 900 MHz Broadband License 37. We conclude that 5/5 broadband applicants will be required to submit an Eligibility Certification and Transition Plan in their application, a process similar to the existing requirements for 3/3 broadband licenses. The Commission will require the 5/5 broadband license applicant to submit in its Eligibility Certification and Transition Plan all information necessary to determine the validity of the applicant's eligibility, including information necessary to assess its ability to acquire spectrum from, cancel licenses of, relocate, or protect covered incumbents, which will be used to determine whether grant of a 900 MHz broadband license is in the public interest. 38. Some commenters note that imposing stricter requirements on 5/5 broadband licensees, such as requiring a 5/5 applicant to first obtain a 3/3 license or requiring an increased spectrum threshold for eligibility, would “run counter to the Commission's goal . . . of ensuring the band is efficiently and intensively utilized and that the increasing spectrum capacity and private broadband network needs of industries, such as utilities, railroads, critical infrastructure, and business enterprises, are met.” We agree that obtaining a 5/5 broadband license, whether by applying for the first time or expanding a current 3/3 system, should be a “simple, streamlined, and efficient” process. 39. Eligibility Certification Requirements. We adopt the proposal, with minor modifications, that a 5/5 broadband license application must include an Eligibility Certification that, at a minimum, shows that: (1) the applicant holds the licenses for more than 50% of the total amount of licensed 900 MHz spectrum for the relevant county; (2) as it pertains to the 897.5-900.5/936.5-939.5 MHz portion of the band, the prospective licensee either: (a) holds a 3/3 broadband license in the relevant county, or (b) itself holds, or has reached an agreement to clear through acquisition, cancellation, or relocation, or has demonstrated how it will provide harmful interference protection to 90% or more site-channels held by covered incumbents collectively holding licenses in the 3/3 broadband segment in the county and within 70 miles of the county boundary, and holding geographically licensed channels where the license area completely or partially overlaps the county; and (3) the applicant itself holds, or has either reached an agreement to clear through acquisition, cancellation, or relocation, or demonstrates how it will provide harmful interference protection to, all covered incumbent licensees collectively holding licenses in the 896-897.5/935-936.5 MHz and 900.5-901/939.5-940 MHz portions of the band in the county and within 70 miles of the county boundary and holding geographically licensed channels where the license area completely or partially overlaps the county. 40. We find that these eligibility requirements are best suited to facilitate a transition of the 900 MHz band to 5/5 broadband. As in the 3/3 broadband context, we conclude that the 50% threshold eliminates the potential filing of mutually exclusive applications and facilitates the opportunity for private agreements. The eligibility requirements also serve to identify the applicant best positioned to deploy a 5/5 broadband system in a timely fashion, and are therefore in the public interest. Additionally, we find it in the public interest to maintain the requirement for a 5/5 broadband applicant to reach agreements to clear through acquisition, cancellation, or relocation or to demonstrate how it will provide harmful interference protection to all covered incumbents. This requirement serves to protect covered incumbents in the band, while simultaneously providing an opportunity for market-based, arms-length transition negotiations, thereby maximizing innovation and diversity of spectrum uses in the band, consistent with the mandates of the Act. 41. Transition Plan Requirements. We require a 5/5 broadband license application to include a Transition Plan in which the applicant must show one or more of the following regarding covered incumbents holding site-based licenses in the 900 MHz band in the county and within 70 miles of the county boundary, and holding geographically licensed channels where the license area completely or partially overlaps the county: (1) agreement by covered incumbents to transition from the 900 MHz band, as applicable; (2) protection of site-based covered incumbents through compliance with minimum spacing criteria; (3) protection of site-based covered incumbents through new or existing letters of concurrence agreeing to lesser base station separations; (4) protection of geographically based covered incumbents through private contractual agreements; and/or (5) evidence that it holds licenses for the site-channels in the county and within 70 miles of the county boundary, and for geographically licensed channels where the license area completely or partially overlaps the county. 42. We require Transition Plans to describe in detail all information and actions necessary to accomplish the realignment to 5/5 broadband, as follows: (1) a description of the agreements reached with covered incumbents and the applications that the parties to the agreements will file for spectrum in the broadband and/or narrowband segments, as applicable, in order to relocate licensees (for covered incumbents relocating to new frequencies, the Plan should include the types of applications and specific frequencies); (2)(a) a description of how the applicant will provide harmful interference protection to, and/or clear through license cancellation, relocation, or acquisition of spectrum held by covered incumbents collectively holding licenses for at least 90% of site-channels in the 3/3 broadband segment and 100% of site-channels in the narrowband segments, as applicable, in the county and within 70 miles of the county boundary, and for geographically licensed channels where the license area completely or partially overlaps the county, and/or (b) evidence that it holds licenses for the relevant site-channels and/or geographically licensed channels; (3) any rule waivers or other actions necessary to implement an agreement with a covered incumbent; and (4) any other information required for the Commission to determine whether the grant of an application is in the public interest. 43. To demonstrate that the 5/5 broadband applicant will be able to effectuate the proposed transition and deploy 5/5 broadband operations while adequately protecting covered incumbents, we allow the applicant to include in its Transition Plan a certification from an FCC-certified frequency coordinator that the Transition Plan's representations can be implemented consistent with Commission rules. The frequency coordinator's certification must also establish that the proposed relocations consider all relevant covered incumbents and are consistent with the existing part 90 interference protection criteria if the covered incumbent is site-based, and include any private contractual agreements between the prospective broadband licensee and a geographically-licensed covered incumbent. 44. Finally, to increase administrative efficiency and reduce burdens, we allow a 5/5 900 MHz broadband applicant seeking to transition multiple counties simultaneously to file a single Transition Plan that covers all of its county-based applications. Commenters express their support for this efficiency enhancing measure. We believe that this process will streamline the overall transition, simplify filing requirements, and minimize administrative burdens. 45. In the 3/3 900 MHz R&O, the Commission explained that a Transition Plan is necessary in order for the Commission to verify a 3/3 broadband applicant's eligibility, as it provides information necessary to assess the applicant's ability to acquire spectrum from, relocate, or protect covered incumbents in the 3/3 broadband segment. We further explained that a Transition Plan requirement furthers the public interest by improving administrative efficiency and lowering the burden on small entities. Commenters express their support for extending this requirement to 5/5 broadband license applications. We find that requiring a Transition Plan, with the modifications described above, will achieve the same goal in the 5/5 broadband context, and that it is in the public interest to adopt a Transition Plan requirement for prospective 5/5 broadband licensees. 46. Application Grant Procedures. We adopt the proposal to commence the 5/5 broadband transition by issuing a public notice announcing the date that the Commission will begin accepting applications consistent with the eligibility and application requirements adopted herein, and delegate the authority to WTB to issue that public notice. Consistent with part 1 of the Commission's rules, an application for a 900 MHz broadband license will be placed on public notice for 30 days, during which time interested parties may file petitions to deny. After review of the required filings, if the Bureau finds that the applicant has satisfied the 5/5 broadband license requirements and that grant of the application is otherwise in the public interest, it will grant the application and issue a 5/5 broadband license. The timeline for complying with the applicable construction obligations will begin immediately upon grant of the new license. B. Anti-Windfall Provisions 47. To alleviate the risk of an undue windfall to the prospective broadband licensee, we adopt the proposal to impose mandatory anti-windfall provisions for 5/5 broadband licenses. This requirement is similar to the 3/3 broadband provisions, with adjustments made for spectrum valuation and spectrum credits. Specifically, an applicant will be required to return all of its licensed 900 MHz SMR and B/ILT spectrum, as well as its 3/3 broadband license(s), if applicable, for any county in which it seeks a 5/5 broadband license, up to ten megahertz total. In instances where a prospective broadband licensee holds less than ten megahertz of spectrum and is thus unable to return the full ten megahertz, spectrum may be assigned from the Commission's available inventory for issuance of a broadband license if the applicant compensates the general fund of the U.S. Treasury via an anti-windfall payment as detailed herein. We believe that applying this anti-windfall requirement to the 5/5 broadband licenses is in the public interest, as it will act as payment for any spectrum provided by the Commission from its inventory and will mitigate any potential unearned benefit that a prospective 5/5 broadband licensee receives as a result of this exchange. 48. To date, the anti-windfall provisions for the 900 MHz 3/3 broadband transition have resulted in payments to the general fund of the U.S. Treasury of over $11,400,000 for over 370 applications. Commenters generally agree that the existing 3/3 anti-windfall rules have met the Commission's goal of ensuring that the U.S. taxpayers receive the appropriate value for the 900 MHz spectrum in the FCC's inventory, and there is support for the extension of these anti-windfall provisions in the 5/5 broadband transition. As commenters note, the anti-windfall provisions have ultimately delivered value to the general fund of the U.S. Treasury for spectrum that in many cases has been unused for decades. We agree that these provisions provide a benefit to the American public, while also providing fairness across the Commission's processes by ensuring that we do not provide free spectrum from the Commission's available inventory. 49. Some commenters, however, suggest that broadband licensees who have already invested in deploying 3/3 broadband spectrum should not be subject to further anti-windfall measures when expanding their operations into the 5/5 broadband segment and “licensees may be discouraged from expanding broadband operations due to these potentially significant capital outlays.” We are not persuaded by this argument against anti-windfall payments. An applicant that made previous anti-windfall payments when acquiring a 3/3 broadband license would have received the benefit of that investment. While there is some merit to the claim that mandatory anti-windfall payments may affect a licensee's decision to expand broadband operations, we find that such concerns do not justify, on balance, exclusion from the anti-windfall provision. We see no benefit to forgoing an anti-windfall provision for the remaining four megahertz of spectrum required to transition a 3/3 broadband license to a 5/5 broadband license. In contrast, we believe that the absence of such an anti-windfall provision could be perceived as a reward to applicants for simply pursuing a prior, optional spectrum transition in accordance with the Commission's rules. The anti-windfall provision, which we find will not be overly burdensome, serves to ensure that participants are engaged in the 5/5 broadband transition and are not receiving more spectrum with limited incentive to utilize it more efficiently. 50. Spectrum Valuation Adjustment. When the Commission established the 3/3 broadband anti-windfall provision, it opted to use the 600 MHz auction prices as the basis for 3/3 broadband license anti-windfall payment calculations. We conclude that the 600 MHz auction prices remain the best valuation source for anti-windfall payments for 900 MHz broadband licenses. We continue to find that 600 MHz and 900 MHz spectrum characteristics, including propagation characteristics, are sufficiently