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Sharing Not Answer?

Congress Likely to Mandate New Rules for Converting More Federal Spectrum to Commercial Use, O'Rielly Says

LAS VEGAS -- FCC Commissioner Mike O'Rielly predicted Congress will soon move forward with legislation to push federal agencies to give up spectrum that is used inefficiently. O'Rielly was a longtime Senate staffer before being confirmed as a commissioner last year. “The days of waiting and holding the breath and having a number of generals say ‘we absolutely need this but we can’t tell you why’ those days gave passed,” O'Rielly said at CTIA.

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The four FCC commissioners other than Chairman Tom Wheeler appeared together on a panel at CTIA Tuesday to answer questions from new CTIA President Meredith Baker, a former commissioner.

The FCC needs to work in partnership with NTIA to reduce the amount of spectrum under federal control, O'Rielly said. “The government today has too much” spectrum, he said. “There are a number of places that we could be more efficient.” It is not just a Department of Defense issue, he said. “A number of federal agencies are going to become more spectrum efficient,” he said.

Commissioner Jessica Rosenworcel said the whole process for converting government spectrum to commercial use needs to become more efficient, with incentives for federal agencies to give up some of their spectrum. “That could involve increases in their budget,” she said. “That could involve revenues from our auctions. That could involve putting back programs” lost as a result of sequestration.

"We've come a long way in the past year and a half in terms of the engagement with the agencies,” said Commissioner Mignon Clyburn. “We're having discussions that no one thought possible just two or three years ago.” Sharing also has to be a big part of the discussions, she said.

Commissioner Ajit Pai said the 2012 spectrum act contained a “very clear preference” for spectrum clearing rather than sharing: “Clearing ultimately is the best proposition for everybody involved.” O'Rielly said the administration needs to be “very forceful” with agencies in getting them to put their spectrum on the table and that incentives may not be enough.

The commissioners touched on other issues as well, including next year’s TV incentive auction.

"We have to keep our eye on the prize,” Rosenworcel said of the auction. She said while there are several concerns, the FCC needs to keep the biggest part of its focus on broadcaster participation. “We need to make it simple for broadcasters to decide whether or not to participate,” she said. “We need to make it easy for them to make an unemotional, dispassionate business decision about whether or not to offer up their spectrum.” Broadcasters need to know how much they stand to get back if they sell their licenses and what the tax consequences of selling will be, Rosenworcel said.

Pai said the FCC should add teeth to rules requiring local governments to act on wireless facility siting applications within 90 days. As the rules stand, there’s no “backstop” or “remedy” if a locality doesn’t act within that time frame, he said. O'Rielly also urged the FCC to approve revised rules on facility siting, saying “hopefully” an order can be moved “very quickly.” Clyburn, a former state regulator, said the FCC needs to take into account all the issues local governments face on facility siting “or we will have perpetual problems down the road.”