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[108th Congress Public Law 494]
[From the U.S. Government Printing Office]

<DOC>
[DOCID: f:publ494.108]

                          ENHANCE 911 SERVICES
Public Law 108-494
108th Congress

                                 An Act

 
To amend the National Telecommunications and Information Administration 
    Organization Act to facilitate the reallocation of spectrum from 
 governmental to commercial users; to improve, enhance, and promote the 
    Nation's homeland security, public safety, and citizen activated 
    emergency response capabilities through the use of enhanced 911 
services, to further upgrade Public Safety Answering Point capabilities 
 and related functions in receiving E-911 calls, and to support in the 
    construction and operation of a ubiquitous and reliable citizen 
   activated system; and to provide that funds received as universal 
  service contributions under section 254 of the Communications Act of 
  1934 and the universal service support programs established pursuant 
thereto are not subject to certain provisions of title 31, United States 
    Code, commonly known as the Antideficiency Act, for a period of 
              time. <<NOTE: Dec. 23, 2004 -  [H.R. 5419]>> 

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

    TITLE I--E-911 <<NOTE: Ensuring Needed Help Arrives Near Callers 
Employing 911 Act of 2004.>> 

SEC. 101. SHORT TITLE. <<NOTE: 47 USC 901 note.>> 

    This title may be cited as the ``Ensuring Needed Help Arrives Near 
Callers Employing 911 Act of 2004'' or the ``ENHANCE 911 Act of 2004''.

SEC. 102. FINDINGS. <<NOTE: 47 USC 942 note.>> 

    The Congress finds that--
            (1) for the sake of our Nation's homeland security and 
        public safety, a universal emergency telephone number (911) that 
        is enhanced with the most modern and state-of-the-art 
        telecommunications capabilities possible should be available to 
        all citizens in all regions of the Nation;
            (2) enhanced emergency communications require Federal, 
        State, and local government resources and coordination;
            (3) any funds that are collected from fees imposed on 
        consumer bills for the purposes of funding 911 services or 
        enhanced 911 should go only for the purposes for which the funds 
        are collected; and
            (4) enhanced 911 is a high national priority and it requires 
        Federal leadership, working in cooperation with State and local 
        governments and with the numerous organizations dedicated to 
        delivering emergency communications services.

SEC. 103. PURPOSES. <<NOTE: 47 USC 942 note.>> 

    The purposes of this title are--
            (1) to coordinate 911 services and E-911 services, at the 
        Federal, State, and local levels; and
            (2) to ensure that funds collected on telecommunications 
        bills for enhancing emergency 911 services are used only for the 
        purposes for which the funds are being collected.

SEC. 104. COORDINATION OF E-911 IMPLEMENTATION.

    Part C of title I of the National Telecommunications and Information 
Administration Organization Act (47 U.S.C. 901 et seq.) is amended by 
adding at the end the following:

``SEC. 158. COORDINATION OF E-911 IMPLEMENTATION. <<NOTE: 47 USC 942.>> 

    ``(a) E-911 Implementation Coordination Office.--
            ``(1) Establishment.--The Assistant Secretary and the 
        Administrator of the National Highway Traffic Safety 
        Administration shall--
                    ``(A) establish a joint program to facilitate 
                coordination and communication between Federal, State, 
                and local emergency communications systems, emergency 
                personnel, public safety organizations, 
                telecommunications carriers, and telecommunications 
                equipment manufacturers and vendors involved in the 
                implementation of E-911 services; and
                    ``(B) create an E-911 Implementation Coordination 
                Office to implement the provisions of this section.
            ``(2) Management plan.--The Assistant Secretary and the 
        Administrator shall jointly develop a management plan for the 
        program established under this section. Such plan shall include 
        the organizational structure and funding profiles for the 5-year 
        duration of the program. <<NOTE: Deadline.>> The Assistant 
        Secretary and the Administrator shall, within 90 days after the 
        date of enactment of this Act, submit the management plan to the 
        Committees on Energy and Commerce and Appropriations of the 
        House of Representatives and the Committees on Commerce, 
        Science, and Transportation and Appropriations of the Senate.
            ``(3) Purpose of office.--The Office shall--
                    ``(A) take actions, in concert with coordinators 
                designated in accordance with subsection (b)(3)(A)(ii), 
                to improve such coordination and communication;
                    ``(B) develop, collect, and disseminate information 
                concerning practices, procedures, and technology used in 
                the implementation of E-911 services;
                    ``(C) advise and assist eligible entities in the 
                preparation of implementation plans required under 
                subsection (b)(3)(A)(iii);
                    ``(D) receive, review, and recommend the approval or 
                disapproval of applications for grants under subsection 
                (b); and
                    ``(E) oversee the use of funds provided by such 
                grants in fulfilling such implementation plans.
            ``(4) Reports.--The Assistant Secretary and the 
        Administrator shall provide a joint annual report to Congress by 
        the first day of October of each year on the activities of the 
        Office to improve coordination and communication with respect to 
        the implementation of E-911 services.

    ``(b) Phase II E-911 Implementation Grants.--
            ``(1) Matching grants.--The Assistant Secretary and the 
        Administrator, after consultation with the Secretary of Homeland 
        Security and the Chairman of the Federal Communications 
        Commission, and acting through the Office, shall provide grants 
        to eligible entities for the implementation and operation of 
        Phase II E-911 services.
            ``(2) Matching requirement.--The Federal share of the cost 
        of a project eligible for a grant under this section shall not 
        exceed 50 percent. The non-Federal share of the cost shall be 
        provided from non-Federal sources.
            ``(3) Coordination required.--In providing grants under 
        paragraph (1), the Assistant Secretary and the Administrator 
        shall require an eligible entity to certify in its application 
        that--
                    ``(A) in the case of an eligible entity that is a 
                State government, the entity--
                          ``(i) has coordinated its application with the 
                      public safety answering points (as such term is 
                      defined in section 222(h)(4) of the Communications 
                      Act of 1934) located within the jurisdiction of 
                      such entity;
                          ``(ii) has designated a single officer or 
                      governmental body of the entity to serve as the 
                      coordinator of implementation of E-911 services, 
                      except that such designation need not vest such 
                      coordinator with direct legal authority to 
                      implement E-911 services or manage emergency 
                      communications operations;
                          ``(iii) has established a plan for the 
                      coordination and implementation of E-911 services; 
                      and
                          ``(iv) has integrated telecommunications 
                      services involved in the implementation and 
                      delivery of phase II E-911 services; or
                    ``(B) in the case of an eligible entity that is not 
                a State, the entity has complied with clauses (i), 
                (iii), and (iv) of subparagraph (A), and the State in 
                which it is located has complied with clause (ii) of 
                such subparagraph.
            ``(4) <<NOTE: Regulations. Deadlines.>>  Criteria.--The 
        Assistant Secretary and the Administrator shall jointly issue 
        regulations within 180 days after the date of enactment of the 
        ENHANCE 911 Act of 2004, after a public comment period of not 
        less than 60 days, prescribing the criteria for selection for 
        grants under this section, and shall update such regulations as 
        necessary. The criteria shall include performance requirements 
        and a timeline for completion of any project to be financed by a 
        grant under this section.

    ``(c) Diversion of E-911 Charges.--
            ``(1) Designated e-911 charges.--For the purposes of this 
        subsection, the term `designated E-911 charges' means any taxes, 
        fees, or other charges imposed by a State or other taxing 
        jurisdiction that are designated or presented as dedicated to 
        deliver or improve E-911 services.
            ``(2) Certification.--Each applicant for a matching grant 
        under this section shall certify to the Assistant Secretary and 
        the Administrator at the time of application, and each applicant 
        that receives such a grant shall certify to the Assistant 
        Secretary and the Administrator annually thereafter during any 
        period of time during which the funds from the grant are 
        available to the applicant, that no portion of any designated E-
        911 charges imposed by a State or other taxing jurisdiction 
        within which the applicant is located are being obligated or 
        expended for any purpose other than the purposes for which such 
        charges are designated or presented during the period beginning 
        180 days immediately preceding the date of the application and 
        continuing through the period of time during which the funds 
        from the grant are available to the applicant.
            ``(3) Condition of grant.--Each applicant for a grant under 
        this section shall agree, as a condition of receipt of the 
        grant, that if the State or other taxing jurisdiction within 
        which the applicant is located, during any period of time during 
        which the funds from the grant are available to the applicant, 
        obligates or expends designated E-911 charges for any purpose 
        other than the purposes for which such charges are designated or 
        presented, all of the funds from such grant shall be returned to 
        the Office.
            ``(4) Penalty for providing false information.--Any 
        applicant that provides a certification under paragraph (1) 
        knowing that the information provided in the certification was 
        false shall--
                    ``(A) not be eligible to receive the grant under 
                subsection (b);
                    ``(B) return any grant awarded under subsection (b) 
                during the time that the certification was not valid; 
                and
                    ``(C) not be eligible to receive any subsequent 
                grants under subsection (b).

    ``(d) Authorization; Termination.--
            ``(1) Authorization.--There are authorized to be 
        appropriated to the Department of Transportation, for the 
        purposes of grants under the joint program operated under this 
        section with the Department of Commerce, not more than 
        $250,000,000 for each of the fiscal years 2005 through 2009, not 
        more than 5 percent of which for any fiscal year may be 
        obligated or expended for administrative costs.
            ``(2) Termination.--The provisions of this section shall 
        cease to be effective on October 1, 2009.

    ``(e) Definitions.--As used in this section:
            ``(1) Office.--The term `Office' means the E-911 
        Implementation Coordination Office.
            ``(2) Administrator.--The term `Administrator' means the 
        Administrator of the National Highway Traffic Safety 
        Administration.
            ``(3) Eligible entity.--
                    ``(A) In general.--The term `eligible entity' means 
                a State or local government or a tribal organization (as 
                defined in section 4(l) of the Indian Self-Determination 
                and Education Assistance Act (25 U.S.C. 450b(l))).
                    ``(B) Instrumentalities.--Such term includes public 
                authorities, boards, commissions, and similar bodies 
                created by one or more eligible entities described in 
                subparagraph (A) to provide E-911 services.
                    ``(C) Exception.--Such term does not include any 
                entity that has failed to submit the most recently 
                required certification under subsection (c) within 30 
                days after the date on which such certification is due.
            ``(4) E-911 services.--The term `E-911 services' means both 
        phase I and phase II enhanced 911 services, as described in 
        section 20.18 of the Commission's regulations (47 C.F.R. 20.18), 
        as in effect on the date of enactment of the ENHANCE 911 Act of 
        2004, or as subsequently revised by the Federal Communications 
        Commission.
            ``(5) Phase ii e-911 services.--The term `phase II E-911 
        services' means only phase II enhanced 911 services, as 
        described in such section 20.18 (47 C.F.R. 20.18), as in effect 
        on such date, or as subsequently revised by the Federal 
        Communications Commission.
            ``(6) State.--The term `State' means any State of the United 
        States, the District of Columbia, Puerto Rico, the Northern 
        Mariana Islands, and any territory or possession of the United 
        States.''.

SEC. 105. GAO STUDY OF STATE AND LOCAL USE OF 911 SERVICE CHARGES.

    (a) <<NOTE: Deadline.>> In General.--Within 60 days after the date 
of enactment of this Act, the Comptroller General shall initiate a study 
of--
            (1) the imposition of taxes, fees, or other charges imposed 
        by States or political subdivisions of States that are 
        designated or presented as dedicated to improve emergency 
        communications services, including 911 services or enhanced 911 
        services, or related to emergency communications services 
        operations or improvements; and
            (2) the use of revenues derived from such taxes, fees, or 
        charges.

    (b) Report.--Within 18 months after initiating the study required by 
subsection (a), the Comptroller General shall transmit a report on the 
results of the study to the Senate Committee on Commerce, Science, and 
Transportation and the House of Representatives Committee on Energy and 
Commerce setting forth the findings, conclusions, and recommendations, 
if any, of the study, including--
            (1) the identity of each State or political subdivision that 
        imposes such taxes, fees, or other charges; and
            (2) the amount of revenues obligated or expended by that 
        State or political subdivision for any purpose other than the 
        purposes for which such taxes, fees, or charges were designated 
        or presented.

SEC. 106. REPORT ON THE DEPLOYMENT OF E-911 PHASE II SERVICES BY TIER 
            III SERVICE PROVIDERS.

    Within 90 days after the date of enactment of this Act, the Federal 
Communications Commission shall submit a report to the Committee on 
Energy and Commerce of the House of Representatives and the Committee on 
Commerce, Science, and Transportation of the Senate detailing--
            (1) the number of tier III commercial mobile service 
        providers that are offering phase II E-911 services;
            (2) the number of requests for waivers from compliance with 
        the Commission's phase II E-911 service requirements received by 
        the Commission from such tier III providers;
            (3) the number of waivers granted or denied by the 
        Commission to such tier III providers;
            (4) how long each waiver request remained pending before it 
        was granted or denied;
            (5) how many waiver requests are pending at the time of the 
        filing of the report;
            (6) when the pending requests will be granted or denied;
            (7) actions the Commission has taken to reduce the amount of 
        time a waiver request remains pending; and
            (8) the technologies that are the most effective in the 
        deployment of phase II E-911 services by such tier III 
        providers.

SEC. 107. FCC REQUIREMENTS FOR CERTAIN TIER III CARRIERS.

    (a) In General.--The Federal Communications Commission shall act on 
any petition filed by a qualified Tier III carrier requesting a waiver 
of compliance with the requirements of section 20.18(g)(1)(v) of the 
Commission's rules (47 C.F.R. 20.18(g)(1)(v)) within 100 days after the 
Commission receives the petition. The Commission shall grant the waiver 
of compliance with the requirements of section 20.18(g)(1)(v) of the 
Commission's rules (47 C.F.R. 20.18(g)(1)(v)) requested by the petition 
if it determines that strict enforcement of the requirements of that 
section would result in consumers having decreased access to emergency 
services.
    (b) Qualified Tier III Carrier Defined.--In this section, the term 
``qualified Tier III carrier'' means a provider of commercial mobile 
service (as defined in section 332(d) of the Communications Act of 1934 
(47 U.S.C. 332(d)) that had 500,000 or fewer subscribers as of December 
31, 2001.

 TITLE II--SPECTRUM RELOCATION <<NOTE: Commercial Spectrum Enhancement 
Act.>> 

SEC. 201. SHORT TITLE. <<NOTE: 47 USC 901 note.>> 

    This title may be cited as the ``Commercial Spectrum Enhancement 
Act''.

SEC. 202. RELOCATION OF ELIGIBLE FEDERAL ENTITIES FOR THE REALLOCATION 
            OF SPECTRUM FOR COMMERCIAL PURPOSES.

    Section 113(g) of the National Telecommunications and Information 
Administration Organization Act (47 U.S.C. 923(g)) is amended by 
striking paragraphs (1) through (3) and inserting the following:
            ``(1) Eligible federal entities.--Any Federal entity that 
        operates a Federal Government station assigned to a band of 
        frequencies specified in paragraph (2) and that incurs 
        relocation costs because of the reallocation of frequencies from 
        Federal use to non-Federal use shall receive payment for such 
        costs from the Spectrum Relocation Fund, in accordance with 
        section 118 of this Act. For purposes of this paragraph, Federal 
        power agencies exempted under subsection (c)(4) that choose to 
        relocate from the frequencies identified for reallocation 
        pursuant to subsection (a), are eligible to receive payment 
        under this paragraph.
            ``(2) Eligible frequencies.--The bands of eligible 
        frequencies for purposes of this section are as follows:
                    ``(A) the 216-220 megahertz band, the 1432-1435 
                megahertz band, the 1710-1755 megahertz band, and the 
                2385-2390 megahertz band of frequencies; and
                    ``(B) any other band of frequencies reallocated from 
                Federal use to non-Federal use after January 1, 2003, 
                that is assigned by competitive bidding pursuant to 
                section 309(j) of the Communications Act of 1934 (47 
                U.S.C. 309(j)), except for bands of frequencies 
                previously identified by the National Telecommunications 
                and Information Administration in the Spectrum 
                Reallocation Final Report, NTIA Special Publication 95-
                32 (1995).
            ``(3) Definition of relocation costs.--For purposes of this 
        subsection, the term `relocation costs' means the costs incurred 
        by a Federal entity to achieve comparable capability of systems, 
        regardless of whether that capability is achieved by relocating 
        to a new frequency assignment or by utilizing an alternative 
        technology. Such costs include--
                    ``(A) the costs of any modification or replacement 
                of equipment, software, facilities, operating manuals, 
                training costs, or regulations that are attributable to 
                relocation;
                    ``(B) the costs of all engineering, equipment, 
                software, site acquisition and construction costs, as 
                well as any legitimate and prudent transaction expense, 
                including outside consultants, and reasonable additional 
                costs incurred by the Federal entity that are 
                attributable to relocation, including increased 
                recurring costs associated with the replacement 
                facilities;
                    ``(C) the costs of engineering studies, economic 
                analyses, or other expenses reasonably incurred in 
                calculating the estimated relocation costs that are 
                provided to the Commission pursuant to paragraph (4) of 
                this subsection;
                    ``(D) the one-time costs of any modification of 
                equipment reasonably necessary to accommodate commercial 
                use of such frequencies prior to the termination of the 
                Federal entity's primary allocation or protected status, 
                when the eligible frequencies as defined in paragraph 
                (2) of this subsection are made available for private 
                sector uses by competitive bidding and a Federal entity 
                retains primary allocation or protected status in those 
                frequencies for a period of time after the completion of 
                the competitive bidding process; and
                    ``(E) the costs associated with the accelerated 
                replacement of systems and equipment if such 
                acceleration is necessary to ensure the timely 
                relocation of systems to a new frequency assignment.
            ``(4) Notice to commission of estimated relocation costs.--
                    ``(A) The Commission shall notify the NTIA at least 
                18 months prior to the commencement of any auction of 
                eligible frequencies defined in paragraph (2). At least 
                6 months prior to the commencement of any such auction, 
                the NTIA, on behalf of the Federal entities and after 
                review by the Office of Management and Budget, shall 
                notify the Commission of estimated relocation costs and 
                timelines for such relocation.
                    ``(B) Upon timely request of a Federal entity, the 
                NTIA shall provide such entity with information 
                regarding an alternative frequency assignment or 
                assignments to which their radiocommunications 
                operations could be relocated for purposes of 
                calculating the estimated relocation costs and timelines 
                to be submitted to the Commission pursuant to 
                subparagraph (A).
                    ``(C) To the extent practicable and consistent with 
                national security considerations, the NTIA shall provide 
                the information required by subparagraphs (A) and (B) by 
                the geographic location of the Federal entities' 
                facilities or systems and the frequency bands used by 
                such facilities or systems.
            ``(5) Notice to congressional committees and gao.--The NTIA 
        shall, at the time of providing an initial estimate of 
        relocation costs to the Commission under paragraph (4)(A), 
        submit to Committees on Appropriations and Energy and Commerce 
        of the House of Representatives for approval, to the Committees 
        on Appropriations and Commerce, Science, and Transportation of 
        the Senate for approval, and to the Comptroller General a copy 
        of such estimate and the timelines for 
        relocation. <<NOTE: Deadline.>> Unless disapproved within 30 
        days, the estimate shall be approved. If disapproved, the NTIA 
        may resubmit a revised initial estimate.
            ``(6) Implementation of procedures.--The NTIA shall take 
        such actions as necessary to ensure the timely relocation of 
        Federal entities' spectrum-related operations from frequencies 
        defined in paragraph (2) to frequencies or facilities of 
        comparable capability. <<NOTE: Notification.>> Upon a finding by 
        the NTIA that a Federal entity has achieved comparable 
        capability of systems by relocating to a new frequency 
        assignment or by utilizing an alternative technology, the NTIA 
        shall terminate the entity's authorization and notify the 
        Commission that the entity's relocation has been completed. The 
        NTIA shall also terminate such entity's authorization if the 
        NTIA determines that the entity has unreasonably failed to 
        comply with the timeline for relocation submitted by the 
        Director of the Office of Management and Budget under section 
        118(d)(2)(B).''.

SEC. 203. MINIMUM AUCTION RECEIPTS AND DISPOSITION OF PROCEEDS.

    (a) Auction Design.--Section 309(j)(3) of the Communications Act of 
1934 (47 U.S.C. 309(j)(3)) is amended--
            (1) by striking ``and'' at the end of subparagraph (D);
            (2) by striking the period at the end of subparagraph (E) 
        and inserting ``; and''; and
            (3) by adding at the end the following new subparagraph:
                    ``(F) for any auction of eligible frequencies 
                described in section 113(g)(2) of the National 
                Telecommunications and Information Administration 
                Organization Act (47 U.S.C. 923(g)(2)), the recovery of 
                110 percent of estimated relocation costs as provided to 
                the Commission pursuant to section 113(g)(4) of such 
                Act.''.

    (b) Special Auction Provisions for Eligible Frequencies.--Section 
309(j) of such Act is further amended by adding at the end the following 
new paragraph:
            ``(15) Special auction provisions for eligible 
        frequencies.--
                    ``(A) Special regulations.--The Commission shall 
                revise the regulations prescribed under paragraph (4)(F) 
                of this subsection to prescribe methods by which the 
                total cash proceeds from any auction of eligible 
                frequencies described in section 113(g)(2) of the 
                National Telecommunications and Information 
                Administration Organization Act (47 U.S.C. 923(g)(2)) 
                shall at least equal 110 percent of the total estimated 
                relocation costs provided to the Commission pursuant to 
                section 113(g)(4) of such Act.
                    ``(B) Conclusion of auctions contingent on minimum 
                proceeds.--The Commission shall not conclude any auction 
                of eligible frequencies described in section 113(g)(2) 
                of such Act if the total cash proceeds attributable to 
                such spectrum are less than 110 percent of the total 
                estimated relocation costs provided to the Commission 
                pursuant to section 113(g)(4) of such 
                Act. <<NOTE: Deadline.>> If the Commission is unable to 
                conclude an auction for the foregoing reason, the 
                Commission shall cancel the auction, return within 45 
                days after the auction cancellation date any deposits 
                from participating bidders held in escrow, and absolve 
                such bidders from any obligation to the United States to 
                bid in any subsequent reauction of such spectrum.
                    ``(C) Authority to issue prior to deauthorization.--
                In any auction conducted under the regulations required 
                by subparagraph (A), the Commission may grant a license 
                assigned for the use of eligible frequencies prior to 
                the termination of an eligible Federal entity's 
                authorization. However, the Commission shall condition 
                such license by requiring that the licensee cannot cause 
                harmful interference to such Federal entity until such 
                entity's authorization has been terminated by the 
                National Telecommunications and Information 
                Administration.''.

    (c) Deposit of Proceeds.--Paragraph (8) of section 309(j) of the 
Communications Act of 1934 (47 U.S.C. 309(j)) is amended--
            (1) in subparagraph (A), by inserting ``or subparagraph 
        (D)'' after ``subparagraph (B)''; and
            (2) by adding at the end the following new subparagraph:
                    ``(D) Disposition of cash proceeds.--Cash proceeds 
                attributable to the auction of any eligible frequencies 
                described in section 113(g)(2) of the National 
                Telecommunications and Information Administration 
                Organization Act (47 U.S.C. 923(g)(2)) shall be 
                deposited in the Spectrum Relocation Fund established 
                under section 118 of such Act, and shall be available in 
                accordance with that section.''.

SEC. 204. ESTABLISHMENT OF FUND AND PROCEDURES.

    Part B of the National Telecommunications and Information 
Administration Organization Act is amended by adding after section 117 
(47 U.S.C. 927) the following new section:

``SEC. 118. SPECTRUM RELOCATION FUND. <<NOTE: 47 USC 928.>> 

    ``(a) Establishment of Spectrum Relocation Fund.--There is 
established on the books of the Treasury a separate fund to be known as 
the `Spectrum Relocation Fund' (in this section referred to as the 
`Fund'), which shall be administered by the Office of Management and 
Budget (in this section referred to as `OMB'), in consultation with the 
NTIA.
    ``(b) Crediting of Receipts.--The Fund shall be credited with the 
amounts specified in section 309(j)(8)(D) of the Communications Act of 
1934 (47 U.S.C. 309(j)(8)(D)).
    ``(c) Used To Pay Relocation Costs.--The amounts in the Fund from 
auctions of eligible frequencies are authorized to be used to pay 
relocation costs, as defined in section 113(g)(3) of this Act, of an 
eligible Federal entity incurring such costs with respect to relocation 
from those frequencies.
    ``(d) Fund Availability.--
            ``(1) Appropriation.--There are hereby appropriated from the 
        Fund such sums as are required to pay the relocation costs 
        specified in subsection (c).
            ``(2) Transfer conditions.--None of the funds provided under 
        this subsection may be transferred to any eligible Federal 
        entity--
                    ``(A) unless the Director of OMB has determined, in 
                consultation with the NTIA, the appropriateness of such 
                costs and the timeline for relocation; and
                    ``(B) until 30 days after the Director of OMB has 
                submitted to the Committees on Appropriations and Energy 
                and Commerce of the House of Representatives for 
                approval, to the Committees on Appropriations and 
                Commerce, Science, and Transportation of the Senate for 
                approval, and to the Comptroller General a detailed plan 
                describing specifically how the sums transferred from 
                the Fund will be used to pay relocation costs in 
                accordance with such subsection and the timeline for 
                such relocation.
        Unless <<NOTE: Deadline.>> disapproved within 30 days, the 
        amounts in the Fund shall be available immediately. If the plan 
        is disapproved, the Director may resubmit a revised plan.
            ``(3) <<NOTE: Deadline.>> Reversion of unused funds.--Any 
        auction proceeds in the Fund that are remaining after the 
        payment of the relocation costs that are payable from the Fund 
        shall revert to and be deposited in the general fund of the 
        Treasury not later than 8 years after the date of the deposit of 
        such proceeds to the Fund.

    ``(e) Transfer to Eligible Federal Entities.--
            ``(1) Transfer.--
                    ``(A) Amounts made available pursuant to subsection 
                (d) shall be transferred to eligible Federal entities, 
                as defined in section 113(g)(1) of this Act.
                    ``(B) An eligible Federal entity may receive more 
                than one such transfer, but if the sum of the subsequent 
                transfer or transfers exceeds 10 percent of the original 
                transfer--
                          ``(i) such subsequent transfers are subject to 
                      prior approval by the Director of OMB as required 
                      by subsection (d)(2)(A);
                          ``(ii) <<NOTE: Deadline.>> the notice to the 
                      committees containing the plan required by 
                      subsection (d)(2)(B) shall be not less than 45 
                      days prior to the date of the transfer that causes 
                      such excess above 10 percent;
                          ``(iii) such notice shall include, in addition 
                      to such plan, an explanation of need for such 
                      subsequent transfer or transfers; and
                          ``(iv) <<NOTE: Deadline.>> the Comptroller 
                      General shall, within 30 days after receiving such 
                      plan, review such plan and submit to such 
                      committees an assessment of the explanation for 
                      the subsequent transfer or transfers.
                    ``(C) Such transferred amounts shall be credited to 
                the appropriations account of the eligible Federal 
                entity which has incurred, or will incur, such costs, 
                and shall, subject to paragraph (2), remain available 
                until expended.
            ``(2) <<NOTE: Reports.>> Retransfer to fund.--An eligible 
        Federal entity that has received such amounts shall report its 
        expenditures to OMB and shall transfer any amounts in excess of 
        actual relocation costs back to the Fund immediately after the 
        NTIA has notified the Commission that the entity's relocation is 
        complete, or has determined that such entity has unreasonably 
        failed to complete such relocation in accordance with the 
        timeline required by subsection (d)(2)(A).''.

SEC. 205. TELECOMMUNICATIONS DEVELOPMENT FUND.

    Section 714(f) of the Communications Act of 1934 (47 U.S.C. 614(f)) 
is amended to read as follows:
    ``(f) Lending and Credit Operations.--Loans or other extensions of 
credit from the Fund shall be made available to an eligible small 
business on the basis of--
            ``(1) the analysis of the business plan of the eligible 
        small business;
            ``(2) the reasonable availability of collateral to secure 
        the loan or credit extension;
            ``(3) the extent to which the loan or credit extension 
        promotes the purposes of this section; and
            ``(4) other lending policies as defined by the Board.''.

SEC. 206. CONSTRUCTION. <<NOTE: 47 USC 921 note.>> 

     Nothing in this title is intended to modify section 1062(b) of the 
National Defense Authorization Act for Fiscal Year 2000 (Public Law 106-
65).

SEC. 207. ANNUAL REPORT. <<NOTE: 47 USC 928 note.>> 

    The National Telecommunications and Information Administration shall 
submit an annual report to the Committees on Appropriations and Energy 
and Commerce of the House of Representatives, the Committees on 
Appropriations and Commerce, Science, and Transportation of the Senate, 
and the Comptroller General on--
            (1) the progress made in adhering to the timelines 
        applicable to relocation from eligible frequencies required 
        under section 118(d)(2)(A) of the National Telecommunications 
        and Information Administration Organization Act, separately 
        stated on a communication system-by-system basis and on an 
        auction-by-auction basis; and
            (2) with respect to each relocated communication system and 
        auction, a statement of the estimate of relocation costs 
        required under section 113(g)(4) of such Act, the actual 
        relocations costs incurred, and the amount of such costs paid 
        from the Spectrum Relocation Fund.

SEC. 208. PRESERVATION OF AUTHORITY; NTIA REPORT REQUIRED.

    (a) <<NOTE: 47 USC 923 note.>> Spectrum Management Authority 
Retained.--Except as provided with respect to the bands of frequencies 
identified in section 113(g)(2)(A) of the National Telecommunications 
and Information Administration Organization Act (47 U.S.C. 923(g)(2)(A)) 
as amended by this title, nothing in this title or the amendments made 
by this title shall be construed as limiting the Federal Communications 
Commission's authority to allocate bands of frequencies that are 
reallocated from Federal use to non-Federal use for unlicensed, public 
safety, shared, or non-commercial use.

    (b) NTIA Report Required.--Within 1 year after the date of enactment 
of this Act, the Administrator of the National Telecommunications and 
Information Administration shall submit to the Energy and Commerce 
Committee of the House of Representatives and the Commerce, Science, and 
Transportation Committee of the Senate a report on various policy 
options to compensate Federal entities for relocation costs when such 
entities' frequencies are allocated by the Commission for unlicensed, 
public safety, shared, or non-commercial use.

SEC. 209. COMMERCIAL SPECTRUM LICENSE POLICY REVIEW.

    (a) <<NOTE: Reports. Deadline.>>  Examination.--The Comptroller 
General shall examine national commercial spectrum license policy as 
implemented by the Federal Communications Commission, and shall report 
its findings to the Senate Committee on Commerce, Science, and 
Transportation and the House of Representatives Committee on Energy and 
Commerce within 270 days.

    (b) Content.--The report shall address each of the following:
            (1) An estimate of the respective proportions of 
        electromagnetic spectrum capacity that have been assigned by the 
        Federal Communications Commission--
                    (A) prior to enactment of section 309(j) of the 
                Communications Act of 1934 (47 U.S.C. 309(j)) providing 
                to the Commission's competitive bidding authority,
                    (B) after enactment of that section using the 
                Commission's competitive bidding authority, and
                    (C) by means other than competitive bidding,
        and a description of the classes of licensees assigned under 
        each method.
            (2) The extent to which requiring entities to obtain 
        licenses through competitive bidding places those entities at a 
        competitive or financial disadvantage to offer services similar 
        to entities that did not acquire licenses through competitive 
        bidding.
            (3) The effect, if any, of the use of competitive bidding 
        and the resulting diversion of licensees' financial resources on 
        the introduction of new services including the quality, pace, 
        and scope of the offering of such services to the public.
            (4) The effect, if any, of participation in competitive 
        bidding by incumbent spectrum license holders as applicants or 
        investors in an applicant, including a discussion of any 
        additional effect if such applicant qualified for bidding 
        credits as a designated entity.
            (5) The effect on existing license holders and consumers of 
        services offered by these providers of the Administration's 
        Spectrum License User Fee proposal contained in the President's 
        Budget of the United States Government for Fiscal Year 2004 
        (Budget, page 299; Appendix, page 1046), and an evaluation of 
        whether the enactment of this proposal could address, either in 
        part or in whole, any possible competitive disadvantages 
        described in paragraph (2).

    (c) FCC Assistance.--The Federal Communications Commission shall 
provide information and assistance, as necessary, to facilitate the 
completion of the examination required by subsection (a).

 TITLE III--UNIVERSAL SERVICE <<NOTE: Universal Service Antideficiency 
Temporary Suspension Act.>> 

SEC. 301. SHORT TITLE.

    This title may be cited as the ``Universal Service Antideficiency 
Temporary Suspension Act''.

SEC. 302. APPLICATION OF CERTAIN TITLE 31 PROVISIONS TO UNIVERSAL 
            SERVICE FUND.

    (a) <<NOTE: Effective date. Termination date.>> In General.--During 
the period beginning on the date of enactment of this Act and ending on 
December 31, 2005, section 1341 and subchapter II of chapter 15 of title 
31, United States Code, do not apply--
            (1) to any amount collected or received as Federal universal 
        service contributions required by section 254 of the 
        Communications Act of 1934 (47 U.S.C. 254), including any 
        interest earned on such contributions; nor
            (2) to the expenditure or obligation of amounts attributable 
        to such contributions for universal service support programs 
        established pursuant to that section.

    (b) Post-2005 Fulfillment of Protected Obligations.--Section 1341 
and subchapter II of chapter 15 of title 31, United States Code, do not 
apply after December 31, 2005, to an expenditure or obligation described 
in subsection (a)(2) made or authorized during the period described in 
subsection (a).

    Approved December 23, 2004.

LEGISLATIVE HISTORY--H.R. 5419 (S. 1250):
---------------------------------------------------------------------------

SENATE REPORTS: No. 108-130 accompanying S. 1250 (Comm. on Commerce, 
Science, and Transportation).
CONGRESSIONAL RECORD, Vol. 150 (2004):
            Nov. 20, considered and passed House.
            Dec. 8, considered and passed Senate.
WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 40 (2004):
            Dec. 23, Presidential statement.

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