FCC approves changes for 800 MHz Transition Administrator
The FCC last week officially approved Deloitte Consulting replacing BearingPoint as project manager of the 800 MHz rebanding effort in a transition that should be “smooth” to affected licensees other stakeholders in the process.
In March, Deloitte agreed to acquire the North American Public Services unit of BearingPoint — a company that had filed Chapter 11 bankruptcy the month before — which counted the 800 MHz Transition Administrator (TA) entity among its assets. However, Deloitte did not acquire the TA portion of BearingPoint, citing the fact that its parent company serves as auditor for many 800 MHz stakeholders.
Instead of purchasing the TA, Deloitte Consulting offered to hire all BearingPoint personnel involved in rebanding and to serve as a subcontractor to the TA, which is now an asset of Baseline Wireless Services.
“We are supportive of the move and expect there will be no delays in moving forward in 800 MHz rebanding,” FCC spokesman Rob Kenny said. “We’re pleased that Deloitte was able to, in essence, maintain the team that was working on 800 MHz rebanding under BearingPoint.”
This sentiment was reiterated in a prepared statement that the TA sent to Urgent Communications.
“The sale of a substantial portion of BearingPoint’s public safety business to Deloitte will not impact the operations of the 800 MHz Transition Administrator,” the statement said. “The BearingPoint personnel working with the TA prior to the transition remain engaged in the TA in the same capacity. This move should be transparent to impacted stakeholders and licensees.”
Indeed, the only operational change is that Deloitte’s auditing ties to stakeholders will prevent the company from making recommendations regarding any increase or decrease of Sprint Nextel’s letter of credit that guarantees the rebanding expenses will be paid. In its order, the FCC ruled that this was not a material change, because “the ultimate decision concerning the letter of credit rests with the Commission, and Deloitte will provide the data and analysis necessary to support the Commission’s decision.”
