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FirstNet Clarifies Costs of Opting Out

With about a week to go until the Dec. 28 deadline for states to opt out of AT&T plans, FirstNet clarified the costs states that say no would have to pay if their alternative radio-access-network fails. “If the opt-out state…

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build or operation of its RAN fails during the term of the [Spectrum Manager Lease Agreement] SMLA, the state will only be responsible for the actual cost of reestablishing the RAN in the state,” FirstNet Senior Counsel Justin Shore said in a letter to New Hampshire shared Tuesday by Rivada. “The revised SMLA makes clear that these actual costs will be recommended through an independent, third party assessment.” A FirstNet spokeswoman confirmed the letter, saying "FirstNet has clarified the draft SMLA after consulting with the states and getting their feedback on the draft from this fall." Threat of large fees for opting out encouraged states to opt in, a Rivada spokesman said. “This is good news, even if it may feel to many states like it comes too late.” Forty of 56 states and territories have opted in (see 1712180023).