How do you use them if the repeaters are down?

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P2p. If I’m operating on HAM, I’m going to use local freqs since many others will be already programmed to tune to those frequencies

Gotcha, but if the repeaters are down am I correct in thinking that you will only be able to reach those close to you and unobstructed?

Yes. But depending on your setup, that could be many miles. And receiving is easier so more people may listen than broadcast.