Lump Sum Payments We’d Love to C -Or- “When will I get them?”

The COVID-19 pandemic has taken a heavy toll on advertising revenue and many broadcasters are looking forward to the C-Band lump sum payments applied for last year. The good news is the payments are coming. The bad news is: Not Yet!

The FCC has assigned the payment process to the Relocation Payment Clearinghouse LLC (“RPC”). Among its duties, the RPC collects and distributes payments for the C-Band transition, administers the reimbursement fund, reviews claims for reimbursement of relocation costs, mitigates financial disputes among stakeholders, and administers the alternative dispute resolution process.

Earlier this year the RPC announced dates for completion of the following activities:

• February 22, 2021 – Launch of the RPC’s website at www.cbandrpc.com.
• April 1, 2021 – Publication of the RPC’s handbook providing claims and process guidance.
• May 14, 2021 – The RPC’s technology platform will be ready to start accepting claims.

Unfortunately, the RPC has not been able to meet that schedule. The website is up, but the handbook has not yet been published. The tentative date to accept claims is still May 14, 2021 according to the RPC.

Based on an informal discussion with FCC International Bureau staff, now reports that payment distribution will take several more steps:

1. All C-Band 5G Auction 107 winners will have to be licensed by the Commission and pay in their auction winning bids. These bids will be used to fund the payments to broadcasters.
2. The RPC must finish setting up a new website portal for submitting claims.
3. Each broadcast C-Band lump sum claimant will then be required to submit an application for reimbursement on the website. At this time there is no predictable timeline for when that will occur.

The RPC presented information in a nearly two hour long webinar on April 1. The discussion on payment for all claimants begins here, and the specifics for lump-sum claimants begins here. In sum, the process is:

• No payment will be made until funds have been received from the Auction 107 overlay licensees.
• The RPC will accept claims as soon as all policies and procedures are finalized and approved by the FCC. It will set up a claims software system called Coupa.
• The tentative date to begin accepting claims is May 14, 2021.
• Because the claims submitted last year were accepted without review, an independent review of a lump sum submission will be required, to verify:
  • Size and type of antennae
  • Multi-video programming distribution (MVPD)
• Approved claims are expected to be paid shortly after approval.
  • The RPC will create an invoice to be submitted to the overlay licensees, as specified in the FCC’s Report and Order.
  • The payments are to be made within 30 days of invoice submission.

Claimants will need to set up a profile in the RPC’s claim processing system, Coupa.

• The RPC will verify accuracy and completeness of profile.
• Each claimant will be responsible for submitting a claim.
• Claims will be processed on a “first come, first served” basis.

So, it will not be as simple as hoped and it’s going to take more time and effort by each broadcaster to get the payment, hopefully by summer.

This column is provided for general information purposes only and should not be relied upon as legal advice pertaining to any specific factual situation. Legal decisions should be made only after proper consultation with a legal professional of your choosing.