Critics of a ‘consensus plan’ for addressing public safety interf...

Michael Calabrese said an ideal solution would be for public safety relocation costs to be folded into a spectrum relocation fund now pending on Capitol Hill. The FCC is considering a staff proposal that would entail Nextel paying for incumbent relocation at 800 MHz and receiving spectrum at 1.9 GHz for a price. Some wireless carriers have urged that Nextel not receive 1.9 GHz outright but that this spectrum be part of an auction. The Spectrum Enhancement Act would earmark proceeds from an auction of advanced wireless services -- or 3G spectrum -- to be used for relocating govt. users from 1710-1755 MHz, Calabrese said. Under an auction scenario for 1.9 GHz, “in the name of homeland security, Congress can earmark the roughly $5 billion in revenue from an immediate auction of spectrum at 1.9 [GHz] into an account to pay the cost” of moving public safety users at 800 MHz and upgrading their equipment, Calabrese said. The spectrum relocation trust fund bill has passed the House but hasn’t cleared the Senate, he noted. “It’s still pending up there,” he said. “If the FCC simply admitted its lack of lawful authority and asked Congress in the name of homeland security to add state and local governments to the federal legislation they have, I believe that Congress would very likely agree.” A “second best” option would be for Nextel to receive some version of a bidding credit for an auction connected to the 1.9 GHz spectrum, he said. The value of the voucher could reflect the cost of the 2.5 MHz Nextel may give up at 800 MHz as part of public safety relocation and the cost of retuning incumbents, he said. “That still presents a problem of valuation” for the spectrum, he said. “But at least the margin of error is far lower.” Cingular Wireless Vp- Governmental Affairs Brian Fontes warned that the impact of a plan in which Nextel pays for relocation of incumbents at 800 MHz could be onerous in terms of litigation risks. Fontes said states such as S.C. have argued they haven’t had interference at 800 MHz and shouldn’t face rebanding. The item is likely to appear on the sunshine notice outlining the FCC’s planned agenda for the April 15 open meeting, he said. “But it may not be on the [final] agenda -- there’s still a lot of questions to be answered,” he said. The NAF briefing didn’t include representation from Nextel or public safety groups. NAF said Nextel and the Assn. of Public Safety Communications Officials declined an invitation to participate.