Use of Amateur Frequencies for "Business"

       Use of Amateur Frequencies for "Business"

HamNet thanks Fred Maia, W5YI, for permission to excerpt this
Electronic Edition of his W5YI Report.  The full ten-page biweekly
newsletter is available by mail for $24.50 per year from Fred at
Dept. C, PO Box 565101, Dallas, TX 75356-5101.
Telephone: 817-461-6443.  Samples available for a 2 stamp large SASE.
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AMATEUR RADIO BUSINESS SERVICE?

FCC "Bombshell" Would Alter "No-Business Rule"

In response to discussions with ARRL officials and a letter from a
Michigan amateur, the FCC suggested changes to the "no-business rule"
that could have enormous impact on the Amateur Service.

Among other changes, the proposal would allow hams to conduct personal
and club business over amateur frequencies; to make increased use of
amateur spectrum by or for local governments, non-profits and the news
media, and would permit payment of teachers to operate amateur stations.

Even the long sought after permission to "order pizza" on the air would
be granted.

Amateurs now provide some communications for others. But they are
supposed to refrain from provieding regular organizational or business
communications for which landline telephone or cellular systems,
business radio frequencies or other services are available. Amateur
safety-of-life communications support is permitted, but should stop when
the emergency is over and when other radio services should be used -
even if the other services would cost money to use.

Those traditional policies would end under the new proposal. The FCC has
suggested that the League file a Petition for Rulemaking to begin the
changes.

Key to the concept is that Amateur Radio is supposed to have "excess
capacity" - more spectrum than it needs - and that the extra capacity
could be opened up for non-amateur or quasi-amateur use. Emergencies
would continue to take priority. Regular amateur communications would be
classified into nine categories and non-amateur communications would
take a secondary status.

The suggested changes are intended to reduce the pressure on the FCC
from some net, bulletin and phone-patch operators, "swap shops,"
volunteer groups, marathon organizers, missionaries and organizations
who want more liberal rules about what communications are permitted. The
lobbying, letter writing and Congressional inquiries on this subject
seem to be having an effect. The changes could transform Amateur Radio
into more of a "Personal and Business Radio Service."

Filing ARRL reports by packet

Kim Nothelfer (call sign unknown) of Saginaw, Michigan, asked the FCC
about filing ARRL Field Organization reports over amateur packet radio.
"The report that I am referring to is called the FSD 212," Nothelfer
wrote. "It tells the League how many people are available for volunteer
emergency service. Their explanation to me is that it is OK to do so as
long as the collected information is mailed to the League and not sent
via Amateur Radio.

"If this is not all right to do, then would it be OK to send the
information from one volunteer to another, the information accumulated,
and not sent to the League, -but kept in our state with our emergency
coordinator? This would be from one volunteer to another and never sent
to the League.

"I understand that you cannot go so far as to make a list of the do's
and don'ts of Amateur Radio. However, we look to you for clarification
on this matter. ... Also, we have to look at the new hams who are coming
into packet radio due to the no-code license, I am sure there will be
some confusion on their part and we need to help them get started
without conflict between the League and 97.113.11

The FCC replied, in part--
"Section SS97.113(a) specifically prohibits an amateur station from
transmitting any communication the purpose of which is to facilitate the
business or commercial affairs of any party. ...The term "business," in
this instance, is used in the broadest context. It includes all types of
communications that are intended to facilitate the regular business or
commercial affairs of any party, whether individual or organization,
whether for profit or not-for- profit, whether charitable or commercial,
or whether government or non-government. "...In your case, if amateur
service frequencies are used to facilitate the collection or reporting
of information for the ARRL, then the amateur service is being used to
facilitate the regular business or commercial affairs of the ARRL. The
Section SS97.113(a) of the Commission's Rules."use of the amateur service
((some text apparently lost - jt))

Letter kicked off discussions

We understand that the Nothelfer letter kicked off a series of meetings
between the ARRL and the Commission about the business rule. The result
of those meetings was revealed in a speech given by FCC Private Radio
Bureau chief Ralph Haller/N4RH, to the ARRL National Convention in
Saginaw, Michigan, August 24. Here are the remarks of N4RH: 'We can't
help but be impressed with the pioneering work you are doing with your
new high-speed systems. Not only are you able to accommodate the influx
of new operators, but it appears from what you are telling us, you have
an excess capacity.

"We understand from your letters and phone,calls that you are anxious
that your excess capacity be used to help alleviate the demands being
placed on the maritime frequencies, the common carriers, the public
safety frequencies, the government systems, the business frequencies,
and so on.

"The existing absolutely-no-business rule, unfortunately, often stands
in the way of your helping out. Its well- meaning purpose is to help
preserve the character of the amateur service. It is a device to prevent
the exploitation of the amateur service. It does, with all the subtlety
of a meat ax! "We know that it is an unpopular rule within the amateur
community. Quite frankly, we have always been more than a little
uncomfortable with it. As frequency managers, we feel overly
bureaucratic when we have to tell you that you must not use your unused
amateur service frequencies for non-amateur purposes. "After all, the
real anti-exploitation rules are rooted in your respect for the
principles for which your frequencies are made available to you, and by
your good judgement.
----------------------------

Non-Amateur Communications: Suggestions Based on Requests
Secondary Usage

Parade logistic support
Non-profit organizations
Government agencies
Public safety agencies
Classroom instruction
Sell apparatus
News media information
Club business
Personal business
NOAA, WWV, etc. Other?

"We have suggested to your League Officers, therefore, that they
consider the possibility of asking for rule making to allow your excess
capacity to be used on a secondary basis for certain non-amateur
communications. "This catalog was compiled from your letters and phone
calls over the years asking for permission to use the amateur service
frequencies for non-amateur communications.

"Obviously, your non-amateur communications would have to be limited to
only those areas where the FCC regulates communications because of the
prohibitions in the International Regulations. Domestically, however,
you might use your frequencies to provide logistical support for a
parade, race, marathon, or similar gathering;

"You might provide communication assistance to a non-profit
organization, charitable organization, or public-safety agency.

"You might participate more fully in governmental systems like Skywarn;

"You might help provide classroom instruction in schools;

"You might sell or trade to amateur operators electronic apparatus;

"You might provide information to your magazines and newsletters;

"You might conduct your radio club business over the air"

"You might conduct your personal business, including ordering pizzas;

"You might provide information to the news media, including broadcast
stations, newspapers and magazines;

"You might also rebroadcast the programs from other stations like the
NOAA weather, Voice of America and WVW.
----------------------------


Precedence Amateur Service Frequency Usage
Suggestion based on Section 97.101

PRIORITY
Providing emergency communications

PRIMARY
Conducting amateur communications

SECONDARY
Conducting non-amateur communications

"Providing emergency communications would continue to have the top
precedence. The primary usage of your frequencies, moreover, would
continue to be your regular amateur service communications. When, and
only when, those two traditional usages are insufficient to completely
occupy your bands, the unused frequencies would be available to you on a
secondary, non-interference basis, to carry on non-amateur service
communications
----------------------------

Providing Emergency Communications From Part 97, Subpart E

Operation during a disaster
Safety of life
Protection of property
Station in distress
RACES (except drills)

"The number one priority is covered by Subpart E in your rule Part 97.
For some 42 years, providing emergency communications has been at the
very top of the list of purposes of the amateur service in the United
States. There would be no changes in these rules.
----------------------------

Amateur Service Communications Primary Usage
From Section SS97.503(c)

Rules Station operating procedures
Radio wave propagation
Amateur Radio practices
Electrical principles
Practical circuits
Components Signals and emissions
Antennas and feed lines
Other?

"The primary usage of the amateur service frequencies is also treated in
Part 97. This list should look familiar to you. These are the very
topics about which you had to learn in order to pass the examinations
for your license. Exchanging ideas on how to best operate an  amateur
station would  continue unchanged.
----------------------------

Business Rule Prohibited transmissions
[Suggestions based upon Phil Karn/KA9Q letter to QEX and on ARRL.]

No amateur operator shall sell a communication service that uses amateur
service frequencies.

The control operator of an amateur station may accept compensation for
periods of time during which the station is transmitting:

Morse practice
Information bulletins
Classroom instruction
----------------------------

"We have been talking with,your representatives about the best way to
codify a new rule. This suggestion is based upon a letter that appeared
in your OEX magazine. It would simply state that 'No amateur operator
shall sell a communication service that uses amateur service
frequencies.' 'The exception for WLAW to pay its control operators would
continue. It adds the new exception that you want to include for
classroom instruction. "The quantity of secondary communications your
systems could carry would be determined by several factors. For
instance, the excess capacity of your systems in your specific locale
would be an important fact or. Providing communications for a race in
Alaska is an entirely different situation than it would be if the race
were held in a more densely populated area where more stations engage in
amateur communications. "This approach may also help solve some of the
problems you have been having in managing your high-speed automatically
controlled systems. You would be able to transmit, on a secondary basis,
the type of messages that gave rise to the unfortunate incident on your
packet system earlier this year. "I hope that you will give this
suggestion your care ful attention. You could be of great assistance to
those in need of better communications, and properly implemented, this
approach should have no adverse effect upon what you are now doing.'
[End of Haller speech]


Comments from Ray Kowalksi on this proposed plan:
September 23, 1991
Mr. Fred Maia, Editor
W5YI Report
Post Office Box 565101
Dallas, Texas 75365-5101

Dear Fred,

     Although it is now nearly four years since I left the FCC, I still
like to keep abreast of developments in the Amateur Radio Service. From
time to time since my departure for the private practice of law, I've
been able to assist you and others who have retained my services in
matters relating to ham radio.

     I recently learned of a proposal that was floated by Ralph Haller,
Chief of the FCC's Private Radio Bureau,at the ARRL National Convention
in Saginaw, Michigan on August 24, 1991. Although I have not seen
widespread discussion of this proposal, I, for one, view it with alarm.

In my view, this proposal contains within it the seeds of destruction
of the Amateur Radio Service as we know it.

     So let me do what I can to get the dialogue going by telling you
why I feel the way I do.  Undoubtedly, this will be viewed by most of
your readers as a contrarian position.

     There presently exists in the Amateur Radio Service a tension
among the principles that dictate the basis and purpose of the Amateur
rules. These principles are stated in the very first Amateur rule,
Section 97.1 of the FCC's rules. These principles declare that the
Amateur Service is at once a hobby, a training ground, a medium of
international goodwill, and a source of voluntary noncommercial
communications, particularly emergency communications.

     At times, the implementation of these principles results in
conflicts among users as well as among the regulations themselves.This
is why I say there is a tension among them. But it is a healthy
tension, one that reflects the living and vibrant nature of Amateur
radio. The forces favoring one principle may be strengthened by events
or fashions of the day, but they never get too far before the forces
favoring the other principles combine to rein them in and keep the
system in equilibrium.

     Mr. Haller, however, has made a proposal that will upset the
balance.  If his proposal becomes law, the voluntary noncommercial
communications component would be expanded.  Based on my experience,
both in and out of government, this expanded component would quickly
overwhelm the rest of Amateur Radio.

     Mr. Haller has proposed that amateur radio frequencies, to the
extent that they have EXCESS CAPACITY, be used to support non-amateur
communications on a SECONDARY basis and WITHOUT COMPENSATION.

     Before I go much farther, let me say that Ralph Haller and I are
well acquainted.  We worked together for many years at the FCC.  I
believe I know Ralph and I believe he places great value on the
Amateur Radio Service and its licensees. Thus I do not believe that he
would deliberately make any suggestion that would not be in the best
interests of the Service. In fact, I could almost believe he made this
suggestion with tongue in cheek, as a way to show the incessant stream
of petitioners for this or that exemption from the "no business
communications" rule (Section 97.113) the logical outcome of their
petitions.  However, since he made the suggestion at an FCC Forum, I
must conclude he is serious.

     Mr. Haller envisions amending the Amateur rules to permit
amateurs to provide communications assistance to public safety
agencies, charitable organizations, schools, news media, governmental
agencies and others. Think of it: you could set up and run
communications for parades and marathons;conduct club business;even
order a pizza on your 2m autopatch, guilt free! As long as the
communications made use of excess capacity on Amateur spectrum and did
not interfere with the traditional hobby-type and emergency (i.e.
disaster, safety of life, protection of property) communications and as
long as you did not get paid for it, it would be legal.

    Judging from the number of requests for waiver of the no- business
communications rule I saw when I was at the FCC, I would have to say
that this proposal would have a seductive allure for many amateurs.
Most amateurs I have met are anxious to donate their time and
communications savvy to causes like those mentioned above.  (Although
some just get an emotional payoff out of playing the role of
communicator.) So I don't have to tell you all of the good things that
could come out of a proposal like this.  But at what price?  Like the
Sirens'song, this proposal must be resisted, for in this most appealing
direction lies shipwreck.

  First, exactly what is "excess capacity?"  I take the term to mean
that the Amateurs have more spectrum than they can use for normal
Amateur communications either now or in the foreseeable future.  Mr.
Haller has taken the existence of excess capacity as a given. Is this
point conceded by the Amateur Community? If so, it is a dear price to
pay in exchange for the weakening of the no-business communications
rule.

     The last time the FCC perceived that the Amateur Service had excess
capacity, they removed 2 megahertz of that capacity in General Docket
87-14. Now it appears that the FCC is not even waiting for a spectrum
re-allocation proceeding.  Rather than moving the excess spectrum to
other radio services, it will simply allow the incursion of outsiders
into the Amateur Service. Believe me, Fred, once this camel's nose gets
under the tent, there's no getting rid of it and there's no stopping the
eventual appearance of the head, neck and shoulders.

     And who are these outsiders?  In almost every situation I can think
of, they are groups who already have spectrum at their disposal.  The
federal government has so much spectrum, there are bills in Congress to
pry out 200 megahertz of it and distribute it to non-government users.
Local governments and public safety entities are eligible in their own
land mobile services. Broadcasters and news media have their own relay
frequencies. Even ordinary businesses have vast blocks of spectrum
available.

     So why is there so much demand to use Amateur frequencies? Because
it's cheap to do, primarily.  Ham gear is as good as (if not better
than) most land mobile equipment on the market.  Yet it is available at
a fraction of the cost. Also there are no pesky air time charges for
using ham radio, they way there are with cellular calls.  Finally, the
licensing arrangements are more flexible: all you need is your "house
ham" to provide the call sign and you're ready to go!  These interests
are only too willing to take advantage of the good nature and general
willingness of hams to be of service whenever they can. They have found
a way around a shortage of funds or an internal bureaucracy. The hams,
for their part, think they are helping a worthy cause.  But if you look
deeper, you see that they are subsidizing an effort that could, if it
needed to, provide its own communications.

     Next, what about "secondary" communications?  This is a term of art
that means the communications may not cause harmful interference to
communications that are "primary" in the band and are not protected from
harmful interference from those primary communications.  (See Section
2.104(d)(4) of the FCC's rules.) This is a nice concept, but it is
difficult to enforce.  As a practical matter, there are no
communications police readily available to protect the rights of the
primary communicators in any given instance.  In other words, the
protection of traditional amateur communications achieved by relegating
non- amateur communications to secondary status is largely illusory. It
is much like saying cellular communications are private, because there
is a law against monitoring them.

     Finally, let me see if I have this straight: the Amateurs would let
everybody else use their frequencies, even for commercial, profitable
purposes such as broadcasting, but what makes it legal is that the
Amateurs will not receive any monetary compensation.  I would make this
deal every day for my land mobile clients, if I could!  Spectrum is so
scarce, we do not care where it comes from or on what basis.  And the
price is right.

     Undoubtedly many good causes will come forward in favor of Mr.
Haller's idea.  The problem is that there is no way to draw the line and
allow only the "good causes" to take advantage of relaxed no-business
communications rules. If one ham can coordinate a parade, then another
ham can coordinate a professional golf tournament.  If one ham can
assist police patrols, another ham can coordinate plant security.  If
one ham can order a pizza on the way home from the kids' soccer game,
another ham can check for messages on the way back from a sales call.
In short, you cannot get just a little bit pregnant.

     The flexibility already contained in rule Section 97.113 and the
entire Subpart E of the FCC's rules, which is devoted to emergency
communications, is already very broad.  Parades, races, marathons and
other public gatherings already have relief.  So do swap meets and news
events.  There is even an exemption for space shuttle communications.
These rules are flexible enough to allow most of the worthwhile
communications that hams are interested in providing.  The wholesale
abolition of the business barrier is as bad as the wholesale prohibition
of business communications, which, as we can see, is not as strict as
Mr. Haller makes it out to be.

     Massive changes are afoot in the world of two-way communications.
Mr. Haller's land mobile staff just initiated PR Docket 91-170, the so-
called "spectrum refarming" proceeding, which has the potential to
completely revise the land mobile communications regulatory framework in
order to free up spectrum to support developing technologies.  Do you
think Mr. Haller's idea to use ham radio to support business
communications is coincidence?  Politically, this should be a time of
spectrum vigilance for Trojan horse proposals.  If there is excess
capacity on the ham bands, the service needs to fill that capacity with
more hams, not business users.  Because, Fred, there are more of them
than there are of you.  Think about it.
                               Very truly yours,
                               /s/ Raymond A. Kowalski
Interesting reading is it not?