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ENSIGN, KERRY INTRODUCE SENATE BILL TO DELAY 700 MHZ AUCTIONS

Sens. Ensign (R-Nev.) and Kerry (D-Mass.) introduced bill that would delay 700 MHz auctions from scheduled date of June 19. Bill reflected text of HR-4560, which House Commerce Committee marked up Thurs. and which is scheduled for House floor vote Tues. Ensign-Kerry bill, unveiled late Thurs., came as Sen. Stevens (R-Alaska) continued to press for countervailing legislation that would compel FCC to hold auctions for upper and lower 700 MHz bands on time. Meanwhile, source said Stevens was hosting meeting in his office Tues. with NextWave re-auction winners to discuss possibility of settlement. His office declined to comment on talks, which were said to be exploratory in nature.

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House is to vote on HR-4560 Tues. under suspension of rules, which means that 2/3 vote is required to pass bill, said aide to House Majority Leader Armey (R-Tex.). Bills typically are put on suspension list when they are noncontroversial. House Commerce Committee Chmn. Tauzin (R- La.), who is among co-sponsors of bill along with ranking Democrat Dingell (Mich.), received near-unanimous committee votes for bill in markup last week (CD May 3 p2). Lone dissenter among those present on panel was Rep. Stearns (R- Fla.), who cited factors such as reserve price set for one band in auction as reason why he thought bidding should move forward as planned. Timing for markup of Senate bill, which had 2 sponsors compared with 53 for House version, was less clear last week. One Senate aide said markup date was likely to be looked at more closely after House vote. House vote is set for one day before May 8 filing deadline at FCC for short forms, which represent first documentation in which prospective bidders signify their intent to participate in auction. Tauzin told reporters after last week’s markup that he had told Senate Commerce Committee Chmn. Hollings (D-S.C.) of broad support that his bill had in House.

Meanwhile, Stevens set Tues. meeting with NextWave re- auction winners and company to discuss possibility of settlement over licenses, source said. Settlement agreement negotiated by FCC, Justice Dept., re-auction winners and NextWave expired at end of last year after Congress failed to provide required approval of pact. Talks apparently have remained largely dormant since then, several sources said. Attention instead has focused on Supreme Court’s grant of certiorari earlier this year to FCC request that it hear arguments on ruling by U.S. Appeals Court, D.C., last year. That decision essentially reversed Commission decision to cancel NextWave licenses for missed payment. First set of briefs in NextWave case is due at Supreme Court today (Mon.). FCC apparently hasn’t been invited to take part in Stevens’ session on settlement on licenses, which were returned to NextWave following D.C. Circuit ruling. In re-auction last year, carriers such as Verizon Wireless, AT&T Wireless- affiliated Alaska Native Wireless, Cingular Wireless- affiliated Salmon PCS, Leap Wireless and others bid nearly $16 billion on PCS licenses. Stevens spokeswoman said policy of his office was not to comment on his schedule. NextWave spokesman declined to comment. Stevens had expressed concern over litigation tie-up involving NextWave licenses at March hearing of Senate Appropriations Commerce, State, Justice Subcommittee hearing (CD March 8 p1). He said he wanted case to move toward settlement, noting that pending Supreme Court litigation could mean there wouldn’t be final decision in case until next year.

“To proceed with the auction at this time would be a terrible example of budget politics taking precedence over sound spectrum management,” Kerry said. His bill came as comment period closed Fri. at FCC for filing oppositions to CTIA request that full Commission review earlier Wireless Bureau decision to keep June 19 date. Ensign-Kerry bill is virtually identical to language in House version, which would direct FCC to postpone upper and lower band bidding without setting another date. Both House and Senate versions also would direct Commission to come back within year after legislation was enacted and specify when 700 MHz auctions would be rescheduled and outline progress it had made in DTV transition.

CTIA Pres. Tom Wheeler lauded Senate bill: “A handful of broadcasters have pushed us to the brink of squandering a unique opportunity to implement a rational, coherent spectrum plan.”

Comments poured into FCC Fri. on CTIA request that Commission review Wireless Bureau decision to keep June 19 date for 700 MHz auctions. In defending delay, American Mobile Telecommunications Assn. (AMTA) stressed uncertainty surrounding use of spectrum, which could be used to deploy operations for national defense, international interoperability and transition from analog to digital wireless communications. AMTA also said that moving forward with bidding as planned could foreclose several options being proposed to alleviate interference to public safety operators at 800 MHz. Some rebanding solutions would allocate upper 700 MHz spectrum to public safety users, AMTA said. National Telecommunications Cooperative Assn. (NTCA) said it opposed “any delay” in auctions. “The large carriers seem to want the Commission to believe that there is so much speculation surrounding the 700 MHz auctions that they will not bid if the auction proceeds as scheduled,” NTCA said. “It is difficult to believe that carriers that claim to be ’starved for spectrum’ will take the chance that all of their competitors feel the same way.” PGTV’s Total.TV service, which had asked FCC for changes in service rules for 700 MHz spectrum, said it hadn’t called for “lengthy delay” in auctions. “Because the technology that has been developed could co-exist with existing analog television broadcasting, this would greatly reduce the need for band clearing and the cloud of uncertainty that this puts over the auction.”