Commissioners OK’d a Further NPRM proposing revised rules for short-range radars in the 60 GHz band 4-0 Tuesday, as expected (see 2107090047). But Commissioner Brendan Carr questioned whether the FCC is moving aggressively enough on opening spectrum for 5G and unlicensed use. The FNPRM explores new rules for the 57-64 GHz portion and asks questions about using the broader 57-71 GHz band.
No broadband-related actions President Joe Biden asked the FCC to take in his Friday executive order on competition can easily proceed until there are additional commissioners to secure a Democratic majority, EO supporters and opponents told us. The directive encourages the FCC to at least bring back rescinded 2015 net neutrality rules and act against some other communications sector practices. Congressional Democrats have become increasingly frustrated by Biden’s slow nominations process (see 2106160056). (For the EO's tech provisions, see 2107090060.)
Telecom-focused lawmakers want to see more information on how a bipartisan infrastructure proposal President Joe Biden backed Thursday structures broadband spending. Some Democrats also cited a likely follow-up bill to address, via budget reconciliation, infrastructure spending not in this compromise as a potential vehicle for more connectivity money. The Biden-backed deal includes $65 billion for broadband, the same the administration previously offered during unsuccessful talks with Senate Republicans (see 2105270072).
Congressional Democrats are pressing harder for President Joe Biden to name a permanent FCC chair and a fifth commissioner, citing the need for a majority to act on changes to net neutrality rules and other priorities unlikely to garner GOP support. Lawmakers remain publicly hopeful the administration will soon announce its FCC nominees. Privately, Senate Democrats in recent days told the White House their patience on FCC nomination delays has evaporated, aides said.
The FCC released rules for the 3.45 GHz auction, to start Oct. 5, in a Wednesday Wireless Bureau and Office of Economics and Analytics public notice. The FCC will auction 4,060 10 MHz flexible-use licenses in the contiguous 48 states and Washington, D.C., the PN said. All will be for 15 years and renewable. Licensees may hold up to four 10 MHz blocks in the band in any market. Short-form applications are due July 21, upfront payments Sept. 2. Staff rejected complaints by the Rural Wireless Association and Blooston carriers that the timing is too aggressive. The timing “is not only consistent with the Commission’s historical timing between spectrum auctions, it is actually considerably longer than the period between most recent spectrum auctions,” the FCC said: “Neither RWA nor Blooston have made any attempt to explain how this auction differs from previous spectrum auctions such that potential applicants need an entire year to prepare.” The agency adopted a $25 million cap on bidding credit discounts for an eligible small business and $10 million on discounts for an eligible rural service provider, same as proposed. “We are unpersuaded by comments suggesting that the adoption of a $25 million cap has inhibited participation by small businesses in recent auctions,” the PN said. It relented on minimum bids. “Given the totality of the comments regarding the proposed minimum opening bid amounts and how they might affect potential new entrants and small carriers, we adopt revised, lower minimum opening bid amounts … as proposed by Verizon and supported by US Cellular and T-Mobile,” the FCC said. The notice adopts 3 cents per MHz/POP for partial economic areas 1-50, .006 cent for PEAs 51-100 and .003 cent for all other markets, with a minimum bid of $1,000. The agency had proposed 6 cents/MHz/POP for PEAs 1-50 and 2 cents elsewhere. The PN rejected AT&T’s request to address the “no excess supply” rule in cases where a bidder wishes to reduce demand from two blocks to none and only one block of that reduction can be applied due to insufficient excess demand. “We disagree with AT&T’s premise that a license for a single block of spectrum in the 3.45 band cannot be used efficiently,” the FCC said. “This auction will bring us closer to 5G service that is fast, secure, resilient, and most importantly, available across the country,” said acting Chairwoman Jessica Rosenworcel. It had sought comment in a notice commissioners OK’d 4-0 in March (see 2103170061).
Senate Parliamentarian Elizabeth MacDonough “advised that a revised budget resolution may contain budget reconciliation instructions,” opening up the possibility of Democrats using that process again in FY 2021 to pass an infrastructure spending package or another measure, said the office of Majority Leader Chuck Schumer, D-N.Y., Monday. That "allows Democrats additional tools to improve the lives of Americans if Republican obstruction continues," the office said. Democrats began floating the possibility last month of using reconciliation on an infrastructure bill (see 2103160001). New America's Open Technology Institute and the Johns Hopkins University Center for Civil Society Studies proposed using "the windfall proceeds of current and anticipated spectrum auctions" to pay for a "Digital Futures Foundation" aimed at investing "in the significant advancements in public-purpose applications and services needed to close the various digital equity gaps for the benefit of all the American people." Some lawmakers are reexamining the possibility of using spectrum auction proceeds to pay for broadband funding in an infrastructure package (see 2104010062). Amazon CEO Jeff Bezos said Tuesday he backs an increase in the corporate tax rate to pay for infrastructure.
Some members of Congress are taking a tentative renewed look at legislation to reallocate proceeds from the FCC's recent auction of spectrum from the 3.7-4.2 GHz C band to pay for broadband, before Capitol Hill's debate over infrastructure spending. President Joe Biden proposes $2.3 trillion for infrastructure, including $100 billion for broadband (see 2103310064). Republicans criticized the administration for pursuing corporate tax increases to help pay for it.
House Infrastructure Committee Chairman Peter DeFazio, D-Ore., pressed the FCC to “take a more measured approach to the 5.9 GHz band” during President Joe Biden’s administration due to ongoing concerns about the commission’s November vote to reallocate the frequency for Wi-Fi and cellular vehicle-to-everything (see 2011180043). Some House Armed Services Committee members, meanwhile, emphasized during a Friday hearing the need for solutions to ensure DOD is able to maintain spectrum superiority over other nations for warfare purposes, while also allowing for telecom companies to gain access to more frequencies for commercial use.
Commissioners approved 4-0 an item that moves the agency closer to a 3.45-3.55 GHz 5G auction starting in early October. A notice proposes a standard FCC auction, similar to the C-band auction, rather than one based on sharing and rules similar to those in the citizens broadband radio service band. The draft public notice got several tweaks, as expected, including offering 10 MHz rather than 20 MHz blocks, but keeps larger partial economic area-sized licenses (see 2103150052). Commissioners Brendan Carr and Nathan Simington concurred on parts of the order because of lingering concerns.
Aides to the other three commissioners have been working with the office of acting Chairwoman Jessica Rosenworcel Monday on possible changes to a public notice proposing rules for an October auction in the 3.45 GHz band, said FCC and industry officials. The order is expected to be approved 4-0. It could get a few tweaks from the draft, officials said. They expected discussions to continue Tuesday.