§ 1.1164   Penalties for late or insufficient regulatory fee payments.

   Electronic payments are considered timely when a wire transfer was
   received by the Commission's bank no later than 6:00 p.m. on the due
   date; confirmation to pay.gov that a credit card payment was successful
   no later than 11:59 p.m. (EST) on the due date; or confirmation an ACH
   was credited no later than 11:59 p.m. (EST) on the due date. In
   instances where a non-annual regulatory payment (i.e., delinquent
   payment) is made by check, cashier's check, or money order, a timely
   fee payment or installment payment is one received at the Commission's
   lockbox bank by the due date specified by the Commission or by the
   Managing Director. Where a non-annual regulatory fee payment is made by
   check, cashier's check, or money order, a timely fee payment or
   installment payment is one received at the Commission's lockbox bank by
   the due date specified by the Commission or the Managing Director. Any
   late payment or insufficient payment of a regulatory fee, not excused
   by bank error, shall subject the regulatee to a 25 percent penalty of
   the amount of the fee or installment payment which was not paid in a
   timely manner.

   (a) The Commission may, in its discretion, following one or more late
   filed installment payments, require a regulatee to pay the entire
   balance of its regulatory fee by a date certain, in addition to
   assessing a 25 percent penalty.

   (b) In cases where a fee payment fails due to error by the payor's
   bank, as evidenced by an affidavit of an officer of the bank, the date
   of the original submission will be considered the date of filing.

   (c) If a regulatory fee is not paid in a timely manner, the regulatee
   will be notified of its deficiency. This notice will automatically
   assess a 25 percent penalty, subject the delinquent payor's pending
   applications to dismissal, and may require a delinquent payor to show
   cause why its existing instruments of authorization should not be
   subject to revocation.

   (d)(1) Where a regulatee's new, renewal or reinstatement application is
   required to be filed with a regulatory fee (as is the case with
   wireless radio services), the application will be dismissed if the
   regulatory fee is not included with the application package. In the
   case of a renewal or reinstatement application, the application may not
   be refiled unless the appropriate regulatory fee plus the 25 percent
   penalty charge accompanies the refiled application.

   (2) If the application that must be accompanied by a regulatory fee is
   a mutually exclusive application with a filing deadline, or any other
   application that must be filed by a date certain, the application will
   be dismissed if not accompanied by the proper regulatory fee and will
   be treated as late filed if resubmitted after the original date for
   filing application.

   (e) Any pending or subsequently filed application submitted by a party
   will be dismissed if that party is determined to be delinquent in
   paying a standard regulatory fee or an installment payment. The
   application may be resubmitted only if accompanied by the required
   regulatory fee and by any assessed penalty payment.

   (f) In instances where the Commission may revoke an existing instrument
   of authorization for failure to timely pay a regulatory fee, or any
   associated interest or penalty, the Commission will provide prior
   notice of its intent to revoke the licensee's instruments of
   authorization by registered mail, return receipt requested to the
   licensee at its last known address. The notice shall provide the
   licensee no less than 60 days to either pay the fee, penalty and
   interest in full or show cause why the fee, interest or penalty is
   inapplicable or should otherwise be waived or deferred.

   (1) An adjudicatory hearing will not be designated unless the response
   by the regulatee to the Order to Show Cause presents a substantial and
   material question of fact.

   (2) Disposition of the proceeding shall be based upon written evidence
   only and the burden of proceeding with the introduction of the evidence
   and the burden of proof shall be on the respondent regulatee.

   (3) Unless the regulatee substantially prevails in the hearing, the
   Commission may assess costs for the conduct of the proceeding against
   the respondent regulatee. See 47 U.S.C. 402(b)(5).

   (4) Any Commission order adopted under the regulation in paragraph (f)
   of this section shall determine the amount due, if any, and provide the
   licensee with at least 60 days to pay that amount or have its
   authorization revoked.

   (5) No order of revocation under this section shall become final until
   the licensee has exhausted its right to judicial review of such order
   under 47 U.S.C. 402(b)(5).

   (6) Any regulatee failing to submit a regulatory fee, following notice
   to the regulatee of failure to submit the required fee, is subject to
   collection of the required fee, including interest thereon, any
   associated penalties, and the full cost of collection to the Federal
   Government pursuant to section 3702A of the Internal Revenue Code, 31
   U.S.C. 3717, and the provisions of the Debt Collection Improvement Act.
   See § § 1.1901 through 1.1952. The debt collection processes described in
   paragraphs (a) through (f)(5) of this section may proceed concurrently
   with any other sanction in this paragraph (f)(6).

   (7) An application or filing by a regulatee that is delinquent in its
   debt to the Commission is also subject to dismissal under § 1.1910.

   [ 84 FR 51002 , Sept. 26, 2019]

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