Spectrum Debate and Government Debt
Congressional leaders have been debating the budget and debt ceiling issues for much longer than any of them care to admit. Those negotiations have been spread over the media air waves and broadcast through the Internet for all to witness, at least as much as congressional leaders care to share. It may come as a surprise to many that those negotiations have included the sale of broadband wireless spectrum to help close budget gaps.
The idea of using wireless spectrum that is voluntarily given up by TV broadcasters to be re-auctioned and re-allocated for wireless broadband use, seems to be a good solution to help the budget issue. This can be accomplished when TV broadcasters relinquish licenses for TV channels that they are not using, in exchange for a cut in the proceeds when those licenses are sold in auction. That spectrum is then resold to wireless broadband providers, which will use the spectrum to either add capacity to current wireless broadband networks or build new networks.
Most congressional leaders admit that the wireless spectrum auctions are a viable option to help the government raise dollars to help pay down debt, the sticking point is what the best course of action may be to accomplish that goal. The added debate in congress was whether the incentive auctions should be authorized as a part of the bigger debt ceiling or dealt with in its own bill.
Last year, Sens. Jay Rockefeller (D-W.Va.) and Kay Bailey Hutchison (R-Texas) introduced such a bill that would authorize the FCC to auction additional spectrum. The bill, which passed through the Senate Commerce Committee in June, also called for some spectrum, which had not been auctioned off in an earlier FCC auction, to be given to the public safety community at no cost to build a nationwide wireless network for first responders. That bill also called for the government to help fund the deployment of this new nationwide public safety network.
Some legislators agree that the D-block of spectrum that was left over from the 2008 auction should be given to public safety, but some house Republicans have taken issue with the spectrum being given away for free. To clarify, in the original auction the D-block of spectrum was to be auctioned off with the stipulation that it be shared with public safety. Bidders were absent in the sale of that spectrum leaving the Government with a swatch of very valuable spectrum to deal with.
Now that the stripped down bill, which does not include the spectrum auctions, has been passed through both houses and signed by the President, we will be forced to wait for the outcome of this issue which is likely to be hashed out among 12 leaders in government, chosen by Senate Majority Leader Harry Reid (D-Nev.) and Minority Leader Mitch McConnell (R-Ken.). Those leaders will be making decisions behind closed doors, after which we will be given the news of what they have decided with no recourse or ability to make our voices heard because as it stands now, these members of the Super Congress will be giving no reports of their meetings or what suggestions were made by either lobbyist or other members of the House or Senate.
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