Supporting Statement OMB 3060-0944 (2013)

OMB Control No. 3060-0944

Cable Landing License Act

47 CFR 1.767; 1.768

Executive Order 10530

September 2013

SUPPORTING STATEMENT

A. Justification

1. The Federal Communications Commission (“Commission”) is requesting that the Office of Management and Budget (OMB) approve a three-year extension of an information collection under OMB Control No. 3060-0944 titled, “Cable Landing License Act – 47 CFR 1.767; 1.768; Executive Order 10530.

Background Information

In order to land a submarine cable on U.S. shores, a carrier must generally obtain cable landing license from the U.S. government. The Cable Landing License Act, gives the President of the United States broad discretion to grant, withhold, condition or revoke cable landing licenses under certain conditions. By Executive Order 10530, the Commission has been delegated the responsibility for issuing cable landing licenses.

Current Cable Landing License Application

We are requesting continued OMB approval of the Submarine Cable Landing License Application (FCC Form 220) referenced under 47 CFR 1.767 and Executive Order 10530.

The purpose of this application is to request authorization from the Commission to land one or both ends of a cable in the territorial waters of the U.S.

Cable Landing License Application Forms Pending Development by the Commission

The Commission plans to develop eight new cable landing license application forms that impact this information collection. We do not know the specific time frame for the development of each application form. However, we estimate that the new projected completion date for all cable landing license application forms is December 30, 2018. The development of the application forms is contingent upon the availability of budget funds, human resources and other factors.

In March 2006, the Commission received blanket approval of all eight applications listed below with the following terms of clearance: OMB approves this information collection. However, as applications contained within the supporting statement are developed, a change worksheet should be submitted to OMB. The change worksheet should include the information elements that are to be collected, as well as a copy of the proposed form. This should be submitted before the application goes “live” and OMB reserves the right to make modifications to the forms and information collected as necessary.

Currently, applicants file pleadings with the Commission for amendments, modifications and other filings for which there is no existing application form.¹ These information collections are approved under OMB Control No. 3060-0944. On September 30, 2008, the Commission’s International Bureau launched an e-filing module in IBFS to provide the option of electronic filing for certain filings in lieu of filing through the Commission’s Office of the Secretary. Interested parties have the option to file their applications, pleadings and other filings through the IBFS module or submit their filings to the Office of the Secretary. (Please reference Public Notice DA 08-2173 for additional information).

A complete list of cable landing license applications pending development is as follows:

Name of Form	Brief Description	Rule Section
1. Submarine Cable Landing License Amendment	Amendment of an application to correct information required for the processing of the original application.	§1.767(m)(1)
2. Submarine Cable Landing License Assignment	Application to assign a license, or a portion of it, from one entity to another. Following an assignment, the license will usually be held by an entity other than the one to which it was originally granted.	§1.767(a)(11)
3. Submarine Cable Landing License Landing Point Notification	Notification of specific description of the landing stations in the U.S. and the foreign countries where the cable will land.	§1.767(a)(5) §1.767(g)(8)
4. Submarine Cable Landing License Modification	Modification application requesting authority to modify the terms or conditions of a license, such as adding a new licensee or relinquishing an interest in a license; also may be used to update information required to maintain accuracy of the certifications made in the original application.	§1.767(m)(1)

Name of Form	Brief Description	Rule Section
5. Submarine Cable Landing License Special Temporary Authority	Application requesting immediate authority for temporary service or for emergency service (Special Temporary Authority).	§1.767(a)
6. Submarine Cable Landing License Transfer of Control of License	Application to transfer control of a license. Following the transfer of control, the license remains held by the same entity or entities, but there is a change in the entity or entities that control a license holder.	§1.767(a)(11)
7. Submarine Cable Landing License Other Filings	Notification of miscellaneous items such as name changes, notification of consummation of transfers of control and assignments.	§1.767(a)(11)(iii)
8. Submarine Cable Landing License Notification of Operation	Notifications of the commencement of service and/or termination of service.	§1.767(g)(14)

This information collection does not affect individuals or households; thus, there are no impacts under the Privacy Act.

The statutory authority for this information collection is contained in the Submarine Cable Landing License Act of 1921, Executive Order 10530, 47 U.S.C. 34-39, 151, 154(i), 154(j), 155, 225, 303(r), 309 and 325(e).

2. The information will be used by the Commission staff in carrying out its duties under the Cable Landing License Act. The information collections pertaining to Part 1 of the rules are necessary to determine whether the Commission should grant a license for proposed submarine cables landing in the United States. Pursuant to Executive Order No. 10530, the Commission has been delegated the President's authority under the Cable Landing License Act to grant cable landing licenses, provided that the Commission must obtain the approval of the State Department and seek advice from other government agencies as appropriate.

3. It is estimated that 95 percent of submarine cable landing license applications and pleadings are submitted to the Commission electronically through the International Bureau Filing System (IBFS), including the IBFS module. It is estimated that 5 percent of interested parties file pleadings in paper form through the Commission’s Office of the Secretary.

4. An applicant for a common carrier subcable must file two electronic applications: (1) a cable landing license application and (2) an international section 214 application for overseas cable construction. While the applicant may be able to use some of the same information in both applications, the applicant must file two separate applications through the IBFS.

5. The Commission has considered the impact of our information collection requirements on small businesses and other small entities, and it believes that the public interest requires the Commission not to adopt an exemption for these entities. In order to fulfill its statutory obligations under the Cable Landing License Act, the Commission must analyze the impact of foreign carrier investment in submarine cables landing in the United States. The rules and regulations will benefit all entities by expediting the processing of applications. Also, the Commission has developed procedures that permit a large number of small entities to be exempt from the requirements contained in the Order.

6. The frequency of filing applications under the Cable Landing License Act will be determined largely by the applicants seeking to construct and operate a submarine cable. If the collection is not conducted or is conducted less frequently, applicants will not obtain the authorizations necessary to provide telecommunications services, and the Commission will be unable to carry out its mandate under the Cable Landing License Act and Executive Order 10530. In addition, without the collection, the United States would jeopardize its ability to fulfill the U.S. obligations as negotiated under the World Trade Organization (WTO) Basic Telecom Agreement because these information collection requirements are imperative to detecting and deterring anticompetitive conduct. They are also necessary to preserve the Executive Branch agencies and the Commission's ability to review foreign investments for national security, law enforcement, foreign policy, and trade concerns.

7. There are no other special circumstances associated with this collection of information.

8. On September 25, 2013, the Commission published a 60-day notice in the Federal Register (78 FR 59026) seeking comments on the information collection requirements contained in this Supporting Statement. No comments were received from the public.

9. Respondents will not receive any payments or gifts.

10. The Commission has not granted assurances of confidentiality to those parties submitting the information. In those cases where a respondent believes information requires confidentiality, the respondent can request confidential treatment and submit a protective order requesting confidential treatment. Commission staff will make a determination pursuant to agency rules.

11. The collection of information does not include any questions of a sensitive nature.

12. There are 255 applicants/licensees who will comply with the information collection requirements contained in this supporting statement. The estimated total annual number of responses and annual burden hours are listed below.

Chart of Respondents, Responses and Annual Burden Hours

Rule Section		Time
and Explanation	Number	Per	Total
of Burden Estimate 1\	of Responses	Response	Annual Burden Hours2
47 CFR 1.767(a); EXECUTIVE ORDER 10530	6	2 hours	12 hours
CABLE LANDING LICENSE		(On occasion)
APPLICATION (FCC FORM 220)
The specific contents of the
application are included in
47 CFR 1.767(a)(1) through (a)(10).
47 CFR 1.767(a)	3	2 hours	6 hours
SUBMARINE CABLE LANDING LICENSE		(On occasion)
SPECIAL TEMPORARY AUTHORITY
Application requesting immediate authority
For temporary service or for emergency
Service.
47 CFR 1.767(a)(5)	6	4 hours	24 hours
SUBMARINE CABLE LANDING LICENSE		(On occasion)
LANDING POINT NOTIFICATION
Map providing a specific description
of the cable landing stations on the
shore of the U.S. and in foreign
countries where the cable will land
and must specify the coordinates of
any beach joint where those coordinates
differ from the coordinates of the cable
station. This information must be filed
with the Commission at least 90 days
prior to construction.
47 CFR 1.767(a)(7)	6	4 hours	24 hours
SUPPLEMENTARY INFORMATION		(On occasion)
A list of the proposed owners of the
cable system, including each U.S. cable
landing station, their respective voting
and ownership interests in each U.S.
cable landing station, their respective
voting interests in the wet link portion
of the cable system, and their
respective ownership interests by
segment in the cable.
47 CFR 1.767(a)(8)	6	2 hours	12 hours
SUPPLEMENTARY INFORMATION		(On occasion)
For each applicants of the cable system,
a certification as to whether the
applicant is, or is affiliated with, a foreign
carrier, including an entity that owns or
controls a foreign cable landing station
in any of the cable's destination markets.
Include the citizenship of each applicant
and information and certifications required
in Sections 63.18(h) through (k) and in
Section 63.18(o) of this chapter.
47 CFR 1.767(a)(9)	6	1 hour	6 hours
SUPPLEMENTARY INFORMATION		(On occasion)
A certification that the applicant accepts
and will abide by the routine conditions
specified in paragraph (g) of this section
47 CFR 1.767; 47 CFR 63.18
INTERNATIONAL SECTION 214 APPLICATION FOR OVERSEAS CABLE CONSTRUCTION	6	2 hours	12 hours
(FCC FORM 214)		(On occasion)
47 CFR 1.767(a)(11)(i) ASSIGNMENTS AND TRANSFERS OF CONTROL Applicants should include a narrative of the means by which the transfer or assignment will take place and specify, on a segment specific basis, the percentage of voting and ownership interests being transferred or assigned in the cable system, including in a U.S. cable landing station.	12	1 hour (On occasion)	12 hours
47 CFR 1.767(a)(11)(ii)	12	1 hour	12 hours
ASSIGNMENTS AND TRANSFERS		(On occasion)
OF CONTROL
If the filing of a foreign carrier notification
pursuant to 1.768 is required, the applicant
shall reference in the application the foreign
carrier affiliation notification and the date of
its filing.
47 CFR 1.767(a)(11)(iii)	12	1 hour	12 hours
Post-transaction notification of pro forma		(On occasion)
assignments and transfers of control
are required pursuant to 47 CFR 1.768(g)(7).
47 CFR 1.767(a)(11)(iii)	6	1 hour	6 hours
OTHER FILINGS
An assignee or transferee must notify the		(On occasion)
Commission no later than 30 days after
either consummation of the assignment
or transfer or a decision not to
consummate the assignment or transfer.
47 CFR 1.767(f)	6	2 hours	12 hours
THIRD PARTY DISCLOSURE		(On occasion)
Applicants shall disclose to any interested		(Third Party
member of the public, upon written request,		Disclosure)
accurate information concerning the location
and timing for the construction of a submarine
cable system authorized under this section.
The disclosure shall be made within
30 days of receipt of the request.
47 CFR 1.767(g)	6	2 hours	12 hours
Applicant must comply with the routine		(On occasion)
conditions as noted under Sections
47 CFR 1.767(11)(g)(1) through (14).
47 CFR 1.767(g)(7)	6	4 hours	24 hours
A pro forma assignee or person or company		(On occasion)
that is the subject of a pro forma transfer
of control must notify the Commission
no later than 30 days after the assignment
or transfer of control is consummated.
The notification must certify that the assign-
ment or transfer of control was pro forma, as
defined in Section 63.24 of this chapter,
and together with all previous pro forma
transactions, does not result in a change of
the licensee's ultimate control. The licensee
may file a single notification for an assignment
or transfer of control of multiple licenses
issued in the name of the licensee if each
license is identified by the file number
under which it was granted.
47 CFR 1.767(g)(8)	0	0	0
Unless the licensee has notified the Commission	See 1.767(a)(5)3
in the application of the precise locations at
which the cable will land, as required by
paragraph (a)(5) of this section, the licensee
shall notify the Commission no later than
90 days prior to commencing construction
at that landing location.
ENVIRONMENTAL ASSESSMENT 47 CFR 1.767(g)(9)	6	8 hours	48 hours
The Commission may require that the licensee		(On occasion)
file an environmental assessment should it
determine that the landing of the cable
at the specific locations and construction
of necessary cable landing stations may
significantly affect the environment within the
meaning of Section 1.1307 implementing the
National Environmental Policy Act of 1969.
47 CFR 1.767(g)(14)	6	1 hour	6 hours
SUBMARINE CABLE LANDING LICENSE		(On occasion)
NOTIFICATION OF OPERATION
The licensee must notify the Commission
within 30 days of the date the cable is placed
into service. The cable landing license shall
expire 25 years from the in-service date,
unless renewed or extended upon proper
application. Upon expiration, all rights
granted under the license shall be terminated.
47 CFR 1.767(j)	6	2 hours	12 hours
APPLICATIONS FOR STREAMLINING		(On occasion)
THIRD PARTY DISCLOSURE
Applicants must request streamlined processing
in its application and must provide a copy
of the application to the Department of State
to initiate approval of the application by the
Department of State.
47 CFR 1.767(k)(1)	6	1 hour	6 hours
Each applicant must demonstrate eligibility		(On occasion)
for streamlining by certifying that it is not a
foreign carrier and it is not affiliated with a
foreign carrier in any of the cable's
destination markets.
47 CFR 1.767(k)(2)	6	2 hours	12 hours
Each applicant for streamlining must demonstrate pursuant so Section 63.12(l)(i)		(On occasion)
through (iii) of this chapter that any such
foreign carrier or affiliated foreign carrier
lacks market power or meet requirements
in 47 CFR 1.767(14)(k)(3).

47 CFR 1.767(k)(3)	6	1 hour	6 hours
Each applicant may certify that the destination		(On occasion)
market where the applicant is, or has an
affiliation with, a foreign carrier is a World
Trade Organization (WTO) member and the
applicant agrees to accept and abide by the
reporting requirements set out in para (l)
of this section. An applicant that includes
an applicant that is, or is affiliated with,
a carrier with market power in a cable's
non-WTO Member destination country is not
eligible for streamlining.
47 CFR 1.767(k)(4)	9	2 hour	18 hours
CERTIFCATIONS TO THE COMMISSION		(On occasion)
Cable Landing Licensees are required to file
with the Commission a certification that the
applicant is not required to submit a
Consistency certification with any state
Pursuant to the Coastal Zone Management
Act.
47 CFR 1.767(l)	24 filings (6 filings	4 hours	96 hours
REPORTING REQUIREMENTS APPLICABLE	per Quarter)	(1hour/quarter)
TO LICENSEES AFFILIATED WITH A CARRIER WITH MARKET POWER IN A
CABLE'S WTO DESTINATION MARKET
AND REQUESTS STREAMLINED
PROCESSING OF ITS APPLICATION
Licensees must file quarterly
reports summarizing the provisioning
and maintenance of all network facilities
and services procured from the licensee’s
affiliate in that destination market,
within 90 days from the end of each calendar
quarter that contain the types of facilities and
services provided and other information stated in
47 CFR 1.767(l)(i) through (iii).
47 CFR 1.767(m)(1)	3	2 hours	6 hours
SUBMARINE CABLE LANDING LICENSE		(On occasion)
AMENDMENTS AND MODIFICATIONS
47 CFR 1.767(m)(2)	24 filings (6	2 hours	48 hours
Any licensee that seeks to relinquish its interest	filings/quarter)	(0.5 hours/quarter)
in a cable landing license shall file an application
to modify the license. Such application must
include a demonstration that the applicant is not
required to be a licensee under paragraph (h)
of this section and that the remaining licensee(s)
will retain collectively de jure and de facto
control of the U.S. portion of the cable system
sufficient to comply with the requirements of the
Commission's rules and any specific conditions
of the license, and must be served on each other
licensee of the cable system.
47 CFR 1.767(n)	0	0	0
All applications and notifications must be filed	See R&O
electronically through the International Bureau	(FCC 05-91)
Filing System (IBFS) subject to the availability
of electronic forms.
47 CFR 1.768	6	1 hour	6 hours
Cable landing applicant/licensee that becomes,		(On occasion)
or seeks to become, affiliated with a foreign
carrier that is authorized to operate in that
market, must notify the Commission of
that affiliation.
47 CFR 1.768(a)	6	1 hour	6 hours
The licensee must notify the Commission		(On occasion)
45 days before consummation of a transaction
involving an acquisition as stated under
47 CFR 1.767(a)(1) and (2).
47 CFR 1.768(2)	6	1 hour	6 hours
The licensee may certify that the destination		(On occasion)
market where the cable lands is a WTO
Member and provides certification to satisfy
the conditions stated in 47 CFR 1.768(2)(i) and (iii).

47 CFR 1.768(c)	6	1 hour	6 hours
NOTIFICATION AFTER CONSUMMATION		(On occasion)
Any licensee that becomes affiliated with a
foreign carrier and has not previously notified
the Commission pursuant to the requirements
of this section shall notify the Commission
within 30 days after consummation of the
acquisition.
47 CFR 1.768(d)	12	1 hour	12 hours
If the transaction also involves a transfer of control or assignment application pursuant		(On occasion)
to 1.767, the foreign carrier notification shall
reference in the notification of the transfer
of control or assignment application and the
date of its filing.
47 CFR 1.768(e)	12	2 hours	24 hours
The notification related to an assignment or		(On occasion)
transfer of control must include the certifications
as stated in 1.768(e)(1) through (7).
47 CFR 1.768(f)	6	3 hours	18 hours
If the licensee seeks to be excepted from the		(On occasion)
reporting requirements contained in 1.767(l),
the licensee should demonstrate that each
foreign carrier affiliate names in the notification
lacks market power pursuant to Section 63.10.
47 CFR 1.768(h)	2	2 hours	4 hours
For a period of 45 days after filing, applicants		(On occasion)
must file a corrected notification referencing
FCC filing numbers under which the original
notification was provided if the information
furnished is no longer accurate.
47 CFR 1.768(i)	4	2 hours	8 hours
A licensee that files a prior notification pursuant		(On occasion)
to paragraph (a) of this section may request
confidential treatment of its filing, pursuant to
Section 0.459 of this chapter, for the first 20
days after filing.

47 CFR 1.768(j)	0	0	0
All notifications described in Section 1.768	See R&O
must be filed electronically through the	(FCC 05-91)
International Bureau Filing System (IBFS).
Totals:	255	1 - 16	534
	Number	Hours	Total
	of Responses		Annual Burden Hours

In-House Costs – We estimate that in-house staff is paid at an estimated rate of $40 per hour.

534 hours X $40 per hour = $21,360 Total In-House Costs to Respondents

13. Annual Burden Cost:

(a) Capital and Start-up Costs: 0

(b) Operation and Maintenance Costs

Outside Legal/Engineering Assistance: We estimate that the respondent will require outside legal assistance for 50% (128) of the responses after the respondent has completed his/her part.⁴ The cost of outside legal assistance is estimated at $300 per hour. The figure is based on a small survey of local firms in the D.C. area and is considered a conservative estimate.

128 responses X $300 per hour X 2 hours per submission = $76,800 Total Outside Legal/Engineering Costs

Application Filing Fees:

As shown on the chart below, the total of application filing fees is $198,405.

Cable Landing License Application	Number	Application	Total
Filing Fees	of Applicants	Fees	Costs
Cable Landing License (Common Carrier)	1	$1,760	$1,760
Cable Landing License (Non-common Carrier)	5	$17,405	$87,025
Overseas Cable Construction	6	$15,645	$93,870
Special Temporary Authority	3	$1,050	$3,150
Assignments and Transfers of Control	12	$1,050	$12,600
Totals:	27		$198,405

(c). Total Annual Cost Burden

Description of Estimated Costs to Respondents	Total Costs
Outside Legal/Engineering Assistance	$76,800
Application Filing Fees	$198,405
Total Cost to Respondents	$275,205

14. Estimates of Annualized Cost to the Federal Government:

The estimates of annualized cost to the Federal government are summarized in the chart below. As shown in the chart, the annualized costs to the Federal government are $346,976.

			Annual
Federal Government	Number	Salary	Burden	Annualized
Staff	of Staff	Per Hour	Hours	Costs
GS-15/Step 5 Attorney	6	$67.21	500	$201,630
GS-14/Step 5 Attorney	4	$57.13	500	$114,260
GS-15/Step 5 Engineers	1	$67.21	250	$16,803
GS-14/Step 5 Engineers	1	$57.13	250	$14,283
	12			$346,976

15. This collection reflects an adjustment of +$6,600. This adjustment is due to an increase in annual application filing fees. There are no program changes to this collection.

16. The Commission does not plan to publish the information for statistical use.

17. No waiver of the OMB expiration date is necessary.

18. There are no exceptions to the certification statement.

Part B. Collections of Information Employing Statistical Methods:

This collection of information does not anticipate the use of statistical methods.

1 The Commission expects the burden for the existing requirements to be reduced for the respondent once the Cable Landing License Application Forms are developed.

2 All of the information collection requirements contained in this chart including waivers have true burden impacts.

3 The burden is accounted for the requirement under Section 1.767(a)(5).

4 See question 12 of this supporting statement for the respondent’s burden for the information collection requirements.

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