This bill renews the authority of the Federal Communications Commission (FCC) to auction licenses for the use of radio frequency spectrum, and requires some frequencies currently used by the federal government to be reallocated to permit use by private entities.
Specifically, the bill reauthorizes the FCC’s use of competitive bidding (i.e., auctions) to grant licenses for the use of specific frequencies. (The FCC’s auction authority must be renewed by Congress periodically. It expired on March 9, 2023, and has not been renewed.)
Further, the bill directs the National Telecommunications and Information Administration to identify frequencies currently designated for use by the federal government that may be reallocated to permit use by private entities either exclusively or on a shared basis. At least half of the spectrum identified for reallocation must be allocated to commercial use (including commercial wireless use), and licenses in this category must be auctioned by the FCC within a specified time frame.
A separate portion of the spectrum must be allocated to unlicensed use. (Unlicensed frequencies are commonly used to support Wi-Fi, connected appliances, wearable consumer devices, and other electronics.)
The bill also makes certain changes to the process for compensating federal entities that relocate to new frequencies under a spectrum reallocation plan. The bill shortens the time frame for congressional review of payments to these entities, and permits such payments to be used to cover the cost of replacing existing systems and equipment with state-of-the-art upgrades.
