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RUMSFELD WARNS AGAINST 3G DECISION WITHOUT REPLACEMENT SPECTRUM

Defense Secy. Donald Rumsfeld and Joint Chiefs of Staff Chmn. Henry Shelton told Senate Majority Leader Daschle (D-S.D.) that no final decision should be made to reallocate DoD spectrum for 3G “until truly comparable spectrum is identified and made available.” Letter, sent to Daschle Mon. and released Wed., marks first time Rumsfeld and Shelton have spelled out publicly their position on upcoming 3G spectrum decisions. Citing “win-win” solutions put forward by wireless industry, they said they remained “open to such a solution provided that DoD requirements are preserved.” But Rumsfeld and Shelton cautioned that no solution was feasible until comparable spectrum has been identified for DoD functions that would be displaced. “Therefore, we ask that no decision be made to reallocate the federal band, including a ‘policy decision’ or ‘decision in principle,’ until truly comparable spectrum is identified and made available,” they wrote. Letter comes within days of expected FCC decision that will take other major candidate band for 3G -- 2500-2690 MHz licensed for MMDS and Instructional TV Fixed Service -- out of running for relocation for advanced wireless services (CD Aug 28 p1).

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Top brass particularly emphasized consequences if DoD were compelled to move operations out of 1755-1850 MHz band “prematurely.” As recently as Fri. (CD Aug 27 p1), new Pentagon Chief Information Officer John Stenbit reiterated that satellite control systems wouldn’t be able to relocate from 1.7 GHz before 2017 and terrestrial systems before 2010. Without mentioning specific dates that would constitute “premature” relocation for military users, Rumsfeld and Shelton wrote: “Forced reallocation will have serious consequences on our national security and increase the risk to military personnel.” They told Daschle that protections provided in 1999 and 2000 National Defense Authorization Acts on financial compensation and comparable spectrum for displaced DoD users should be preserved. Those statutes guarantee that DoD spectrum can’t be taken away without users’ being compensated for moving and being given comparable spectrum. In pitching possible solutions to federal policymakers, wireless industry has made assurances that carriers had no interest in having military users move without full compensation and comparable spectrum. One possibility floated earlier this month, but ultimately not added to fiscal 2002 Pentagon authorization bill during House Armed Services Committee debate, would have given 3G auction proceeds to DoD if military users were relocated from existing spectrum.

Letter cited Defense Dept. study released earlier this year that said several spectrum-sharing scenarios for 3G would be impractical and that relocation couldn’t be “completed prior to the next decade.” While not explicitly ruling out relocation, Rumsfeld and Shelton said: “Moving to other bands would first require the allocation of comparable spectrum, then full compensation for significant additional costs incurred by our government to accomplish the shift and finally the requisite time to transition.” To qualify as “effectively comparable,” letter said regulatory status of band and physical propagation characteristics were among factors that must be considered. News release accompanying letter said DoD spectrum concerns centered on systems such as satellite control, precision guided munitions, tactical radio relays, voice communications and GPS signals “used by troops in the field” at 1.7 GHz. It said it would take “a decade to replace or refit these systems, provided funds were available.”

DoD plans to continue to work with White House, Congress, Commerce Dept., FCC and others on 3G policy decisions, letter said. Rumsfeld and Shelton told Daschle: “Access to the radio frequency spectrum is essential to our success in all future real- world operations. Lack of adequate spectrum will jeopardize our national security.”