Appendix: Maxlink Communications Inc

Annexe A — Maxlink Communications Inc.'s 33 authorized service areas in blocks A and B

Barrie
Belleville
Brantford
Calgary
Chicoutimi/Jonquière/
Alma
Courtenay
Fre;dericton
Grande Prairie
Guelph/Kitchener
Halifax
Kelowna
Kingston
Lethbridge
London/Woodstock/St. Thomas
Moncton
Montréal
Nanaimo
Niagara/St. Catherines/Welland
Orillia
Ottawa/Hull
Penticton
Prince Albert
Red Deer
Regina
Saskatoon
Sherbrooke
St. John's
Stratford
Thunder Bay
Victoria
Victoriaville
Windsor/Leamington
Winnipeg

Appendix B — MaxLink Communications Inc. — Conditions of Licence for Local Multipoint Communication Systems (LMCS)

  1. You will implement your system as outlined in the Attachment.
  2. You must invest as a minimum 2.5 per cent of your adjusted gross revenues resulting from your LMCS operations on LMCS-related research and development activities averaged over the next five years. Eligible research and development is that which meets the definition adopted by Revenue Canada.
  3. Adjusted gross revenues are defined as total service revenues less inter-carrier payments, bad debts, third party commissions, and provincial and goods and services taxes collected.
  4. You must honour all other commitments as outlined in the Attachment, not withstanding other conditions herein.
  5. You must comply with the eligibility criteria as set out in section 16 of the Telecommunications Act and the Canadian Telecommunications Common Carrier Ownership and Control Regulations.
  6. You must notify the Minister of any change which would have a material effect on your ownership or control in fact. Such notification must be made in advance for any of the proposed transactions within your knowledge.
  7. You must comply with the eligibility criteria as set out in section 5.4 of the LMCS Policy and Call document released February 29, 1996.
  8. You must notify the Minister of any proposed equity participation by a non-eligible entity. Such notification must be made in advance for any of the proposed transactions within your knowledge.
  9. You must submit an annual report for each of the first five years indicating your continued compliance with these conditions of licence including:
    • an update on the implementation of LMCS in the authorized service areas;
    • an audited statement of research and development expenditures as required in condition 2.0 above for the fiscal year covered by the report;
    • a description of research and development activities including their distribution across Canada;
    • an update on the number of subscribers for each service area and the penetration rate achieved;
    • an update on the actual direct and indirect jobs created with respect to LMCS, including their distribution across Canada;
    • a description of direct investments undertaken with respect to LMCS; and
    • a copy of any existing corporate annual report for your fiscal year with respect to this authorization.

    The reports are to be submitted, in writing within 120 days of your fiscal year end, to the Director, Spectrum Management Operations, Radiocommunications and Broadcasting Regulatory Branch.

    In addition, for the first two years, you must submit an interim report within 6 months of this authorization, providing an update on the implementation of LMCS in the authorized service areas, equipment purchasing, site and carriage arrangement, etc.

  10. You must, from the inception of service, provide for and maintain lawful interception capabilities as authorized by law.
  11. (a) The requirements for lawful interception capabilities are provided in the Solicitor General's Enforcement Standards for Lawful Interception of Telecommunications (Rev.Nov.95). These standards may be amended from time to time following consultation with the Solicitor General of Canada and the licensees.

    (b) You may request the Minister to forbear from enforcing certain assistance capability requirements for a limited period. The Minister, following consultation with the Solicitor General of Canada, may exercise his power to forbear from enforcing a requirement or requirements where, in the opinion of the Minister, the requirement(s) is (are) not reasonably achievable. Forbearance requests must include specific details and dates when compliance to requirement(s) can be expected.

  12. You must make available the facilities and capacity for lease, resale and sharing to all other telecommunications carriers and to third party users on an unrestricted, nondiscriminatory basis.
  13. You must provide your facilities and capacity, including support structures, in a manner that allows customers to use and pay for only those elements that they require.
  14. While site specific authorizations will not be required, you must ensure that:
    • radio stations are installed and operate in a manner that complies with Health Canada's limits of exposure to radiofrequency fields;
    • where applicable, antenna structures are marked in accordance with the recommendations of Transport Canada; and
    • prior to installation or modification of significant antenna structures, consultation with the appropriate land use authorities has taken place.
  15. The transfer of this authorization to another party will not be allowed without full review of the application by Industry Canada and approval by the Minister. In the absence of exceptional circumstances, no transfer of authorization will be permitted in the first three years after the award of this authorization to implement LMCS services.
  16. You must comply with international coordination requirements with the United States as they are developed.
  17. You must respect ITU Radio Regulations pertaining to the band 25.25-27.5 GHz.
  18. You must pay the applicable annual radio authorization fees before March 31 of each year.
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