§  1.21003   Competitive bidding process.

   (a) Public Notice of Competitive Bidding Procedures. Detailed
   competitive bidding procedures shall be established by public notice
   prior to the commencement of competitive bidding any time competitive
   bidding is conducted pursuant to this subpart.

   (b) Competitive Bidding Procedures—Design Options. The public notice
   detailing competitive bidding procedures may establish the design of
   the competitive bidding utilizing any of the following options, without
   limitation:

   (1) Procedures for Collecting Bids. (i) Procedures for collecting bids
   in a single round or in multiple rounds.

   (ii) Procedures for collecting bids on an item-by-item basis, or using
   various aggregation specifications.

   (iii) Procedures for collecting bids that specify contingencies linking
   bids on the same item and/or for multiple items.

   (iv) Procedures allowing for bids that specify a support level,
   indicate demand at a specified support level, or provide other
   information as specified by the Commission.

   (v) Procedures to collect bids in one or more stage or stages,
   including for transitions between stages.

   (2) Procedures for Assigning Winning Bids. (i) Procedures for scoring
   bids by factors in addition to bid amount, such as population coverage
   or geographic contour, or other relevant measurable factors.

   (ii) Procedures to incorporate public interest considerations into the
   process for assigning winning bids.

   (3) Procedures for Determining Payments. (i) Procedures to determine
   the amount of any support for which winning bidders may become
   authorized, consistent with other auction design choices.

   (ii) Procedures that provide for support amounts based on the amount as
   bid or on other pricing rules, either uniform or discriminatory.

   (c) Competitive Bidding Procedures—Mechanisms. The public notice
   detailing competitive bidding procedures may establish any of the
   following mechanisms, without limitation:

   (1) Limits on Available Information. Procedures establishing limits on
   the public availability of information regarding applicants,
   applications, and bids during a period of time covering the competitive
   bidding process, as well as procedures for parties to report the
   receipt of non-public information during such periods.

   (2) Sequencing. Procedures establishing one or more groups of eligible
   areas and if more than one, the sequence of groups for which bids will
   be accepted.

   (3) Reserve Price. Procedures establishing reserve prices, either
   disclosed or undisclosed, above which bids would not win in the
   auction. The reserve prices may apply individually, in combination, or
   in the aggregate.

   (4) Timing and Method of Placing Bids. Procedures establishing methods
   and times for submission of bids, whether remotely, by telephonic or
   electronic transmission, or in person.

   (5) Opening Bids and Bid Increments. Procedures establishing maximum or
   minimum opening bids and, by announcement before or during the auction,
   maximum or minimum bid increments in dollar or percentage terms.

   (6) Withdrawals. Procedures by which bidders may withdraw bids, if
   withdrawals are allowed.

   (7) Stopping Procedures. Procedures regarding when bidding will stop
   for a round, a stage, or an entire auction, in order to terminate the
   auction within a reasonable time and in accordance with public interest
   considerations and the goals, statutory requirements, rules, and
   procedures for the auction, including any reserve price or prices.

   (8) Activity Rules. Procedures for activity rules that require a
   minimum amount of bidding activity.

   (9) Auction Delay, Suspension, or Cancellation. Procedures for
   announcing by public notice or by announcement during the reverse
   auction, delay, suspension, or cancellation of the auction in the event
   of a natural disaster, technical obstacle, network disruption, evidence
   of an auction security breach or unlawful bidding activity,
   administrative or weather necessity, or for any other reason that
   affects the fair and efficient conduct of the competitive bidding, and
   procedures for resuming the competitive bidding starting from the
   beginning of the current or some previous round or cancelling the
   competitive bidding in its entirety.

   (d) Apportioning Package Bids. If the public notice establishing
   detailed competitive bidding procedures adopts procedures for bidding
   for support on combinations or packages of geographic areas, the public
   notice also shall establish a methodology for apportioning such bids
   among the geographic areas within the combination or package for
   purposes of implementing any Commission rule or procedure that requires
   a discrete bid for support in relation to a specific geographic area.

   (e) Public Notice of Competitive Bidding Results. After the conclusion
   of competitive bidding, a public notice shall identify the winning
   bidders that may apply for the offered universal service support and
   the amount(s) of support for which they may apply, and shall detail the
   application procedures.

   [ 76 FR 73851 , Nov. 29, 2011, as amended at  82 FR 15449 , Mar. 28, 2017]