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[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[S. 2473 Introduced in Senate (IS)]

113th CONGRESS
  2d Session
                                S. 2473

 To reallocate Federal Government-held spectrum for commercial use, to 
 promote wireless innovation and enhance wireless communications, and 
                          for other purposes.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                             June 12, 2014

   Mr. Rubio introduced the following bill; which was read twice and 
   referred to the Committee on Commerce, Science, and Transportation

_______________________________________________________________________

                                 A BILL

 
 To reallocate Federal Government-held spectrum for commercial use, to 
 promote wireless innovation and enhance wireless communications, and 
                          for other purposes.

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

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) In General.--This Act may be cited as the ``Wireless Innovation 
Act of 2014''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings; statement of policy.
Sec. 3. Definitions.
Sec. 4. Reallocation of Federal Government spectrum.
Sec. 5. Spectrum pipeline.
Sec. 6. Reallocation incentive.
Sec. 7. Expediting routine secondary market transactions.
Sec. 8. Analysis of spectrum requirements.
Sec. 9. Federal spectrum transparency and value.

SEC. 2. FINDINGS; STATEMENT OF POLICY.

    (a) Findings.--Congress finds the following:
            (1) The United States is the global leader in wireless 
        communications and broadband technologies, both of which are 
        vital parts of daily life in the United States, key components 
        of the national infrastructure of the United States, and a 
        significant driver of the United States economy.
            (2) Wireless communications and broadband services have 
        become critical for individuals to improve their economic well-
        being, businesses to compete in the 21st century, first 
        responders to protect individuals in emergencies, and Federal 
        agencies to service their missions, such as national defense.
            (3) Because of the proliferation of broadband connected 
        wireless devices and consumer applications, the volume of data 
        traffic traveling over wireless networks has been growing 
        substantially, and with the pace of innovation accelerating, 
        the demand for wireless data services will continue to increase 
        exponentially.
            (4) The Council of Economic Advisors has concluded that the 
        only feasible way to realize the full potential of wireless 
        broadband is to make new spectrum available for wireless 
        services, and considerable spectrum is underused or used in 
        less economically valuable ways, and could be repurposed and 
        reallocated for wireless broadband use.
            (5) If the United States does not make more spectrum 
        available, scarcity of spectrum could lead to higher prices for 
        wireless services, poor service quality, the inability of the 
        United States to compete internationally, constrained mobile 
        broadband growth, and ultimately, a drag on innovation and 
        individual economic mobility.
            (6) The National Broadband Plan, created by the Federal 
        Communications Commission, set a goal of making 500 megahertz 
        of spectrum newly available for commercial mobile broadband use 
        by 2020, including making 300 megahertz between 225 megahertz 
        and 3.7 gigahertz newly available for mobile use within 5 
        years, and stated that reallocating this spectrum where 
        possible for mobile broadband use should be a priority.
            (7) Reallocating and auctioning spectrum produces multiple 
        benefits. A Federal licensee can upgrade to comparable or 
        superior communications technology, an auction raises money for 
        the United States Treasury, and taxpayers benefit from 
        increased access to, and better use of, spectrum.
            (8) In addition to reallocating spectrum, the United States 
        should pursue a comprehensive approach to spectrum policy that 
        includes expanding the capacity of wireless networks, promoting 
        secondary spectrum markets, expanding unlicensed networks and 
        Wi-Fi systems, and increasing efficiency and transparency among 
        Federal users.
            (9) The Federal Government, as the largest user of 
        spectrum, must also promote the efficient use of spectrum 
        resources, and the National Telecommunications and Information 
        Administration must ensure that Federal agencies use this 
        valuable public resource in the most efficient and effective 
        manner possible.
            (10) The National Broadband Plan states that Federal 
        spectrum users can be more efficient with the airwaves 
        allocated to them by the National Telecommunications and 
        Information Administration, especially as wireless needs and 
        technology evolve over time.
    (b) Purpose.--The purpose of this Act is--
            (1) to pursue comprehensive solutions to expand mobile 
        broadband and utilize wireless services and technologies to 
        create jobs, grow the economy, and improve individual economic 
        mobility; and
            (2) to ensure that the Federal Government--
                    (A) utilizes its spectrum in the most efficient and 
                effective way; and
                    (B) repurposes spectrum for commercial use wherever 
                possible.

SEC. 3. DEFINITIONS.

    In this Act:
            (1) Commission.--The term ``Commission'' means the Federal 
        Communications Commission.
            (2) NIST.--The term ``NIST'' means the National Institute 
        of Standards and Technology.
            (3) NTIA.--The term ``NTIA'' means the National 
        Telecommunications and Information Administration.

SEC. 4. REALLOCATION OF FEDERAL GOVERNMENT SPECTRUM.

    Section 113 of the National Telecommunications and Information 
Administration Organization Act (47 U.S.C. 923) is amended by adding at 
the end the following:
    ``(m) Further Reallocation Report.--
            ``(1) Report required.--
                    ``(A) In general.--Not later than 1 year after the 
                date of enactment of this subsection, the Secretary 
                shall prepare and submit to the President and Congress 
                a report (referred to in this subsection as the 
                `reallocation report') that identifies and recommends 
                for reallocation bands of frequencies--
                            ``(i) that, in the aggregate, span not less 
                        than 200 megahertz;
                            ``(ii) that are located below 5 gigahertz;
                            ``(iii) that are not covered by the 
                        proceeding of the Commission in GN Docket No. 
                        12-354;
                            ``(iv) that, as of the date of submission 
                        of the reallocation report, are allocated on an 
                        exclusive or primary basis for Federal 
                        Government use;
                            ``(v) from which Federal Government 
                        stations may be relocated pursuant to 
                        subsection (g) or for which Federal Government 
                        stations may be replaced by commercially 
                        available substitutes;
                            ``(vi) that, as of the date of submission 
                        of the reallocation report or at any time 
                        during the 10-year period beginning on that 
                        date, may feasibly be made available for the 
                        uses described in subparagraph (B);
                            ``(vii) the transfer of which from, or the 
                        sharing of which with, Federal Government use 
                        will not result in costs to the Federal 
                        Government, or losses of services or benefits 
                        to the public, that are excessive in relation 
                        to the benefits to the public that may be 
                        provided by non-Federal licensees; and
                            ``(viii) that are most likely to have the 
                        greatest potential economic benefit to the 
                        United States if reallocated and licensed for 
                        non-Federal use.
                    ``(B) Allocation of spectrum.--Of the spectrum 
                described in subparagraph (A)--
                            ``(i) 140 megahertz shall--
                                    ``(I) be allocated for commercial 
                                mobile use on an exclusive, licensed 
                                basis; and
                                    ``(II) be located below 3.7 
                                gigahertz;
                            ``(ii) not more than 20 megahertz may be 
                        allocated for unlicensed use if--
                                    ``(I) such use protects licensed 
                                services from harmful interference; and
                                    ``(II) the spectrum allocated for 
                                such use is located--
                                            ``(aa) in guard bands below 
                                        3.7 gigahertz--

                                                    ``(AA) that are no 
                                                larger than technically 
                                                necessary to prevent 
                                                harmful interference 
                                                between licensed 
                                                services outside the 
                                                guard bands; and

                                                    ``(BB) the 
                                                unlicensed use of which 
                                                does not cause harmful 
                                                interference to 
                                                licensed services; or

                                            ``(bb) between 3.7 
                                        gigahertz and 5 gigahertz; and
                            ``(iii) not more than 40 megahertz may be 
                        shared with Federal Government stations if--
                                    ``(I) the President limits the 
                                assignment of the Federal Government 
                                stations so that the use of the 
                                spectrum by those stations is 
                                restricted by geographic area, by time, 
                                or by other means so as to guarantee 
                                that the continued use by those 
                                stations is substantially less than the 
                                use made by non-Federal stations; and
                                    ``(II) the operational sharing 
                                authorized under this clause is subject 
                                to--
                                            ``(aa) interference 
                                        regulations prescribed by the 
                                        Commission under section 305(a) 
                                        of the 1934 Act;
                                            ``(bb) coordination 
                                        procedures that the Commission 
                                        and the Secretary shall jointly 
                                        establish and implement to 
                                        ensure against harmful 
                                        interference; and
                                            ``(cc) the sharing 
                                        arrangements in a transition 
                                        plan applicable to the spectrum 
                                        that the Technical Panel finds 
                                        sufficient under subsection 
                                        (h)(4).
                    ``(C) Relocation of federal government stations; 
                costs.--The Secretary shall include in the reallocation 
                report--
                            ``(i) recommendations for spectrum bands to 
                        which Federal Government stations may be 
                        relocated; and
                            ``(ii) the costs, as determined by the 
                        Secretary in consultation with the Office of 
                        Management and Budget, of the relocation 
                        described in clause (i).
            ``(2) Direct discussions.--
                    ``(A) In general.--The Secretary shall consult with 
                the Federal Government users of the spectrum and work 
                through established processes of the NTIA to encourage 
                and provide opportunity for direct discussions among 
                commercial representatives and Federal Government users 
                of the spectrum to aid the Secretary in determining 
                which frequencies to recommend for reallocation under 
                this subsection.
                    ``(B) Notice.--The Secretary shall provide notice 
                to the public and the Commission of any discussion held 
                under subparagraph (A), including the name of each 
                business or other person represented in the discussion.
                    ``(C) Representative of commission.--A 
                representative of the Commission (and of the Secretary, 
                at the election of the Secretary) may attend any 
                discussion held under subparagraph (A).
                    ``(D) Opportunity for comment.--Before the 
                Secretary submits the reallocation report, the 
                Secretary shall provide the public and the Commission 
                with an opportunity to comment on the results of any 
                discussion held under subparagraph (A).
            ``(3) Timetable for withdrawal or limitation of 
        assignments.--
                    ``(A) Recommended deadlines.--The Secretary shall 
                include in the reallocation report a timetable that 
                recommends effective dates by which the President 
                shall--
                            ``(i) withdraw the assignment to Federal 
                        Government stations of the frequencies 
                        specified in the reallocation report (other 
                        than the frequencies identified under paragraph 
                        (1)(B)(iii)); and
                            ``(ii) in the case of the spectrum 
                        identified under paragraph (1)(B)(iii), limit 
                        the assignment of that spectrum to Federal 
                        Government stations as required under subclause 
                        (I) of that paragraph.
                    ``(B) Absolute deadlines.--
                            ``(i) In general.--Notwithstanding the 
                        effective dates recommended by the Secretary 
                        under subparagraph (A), not later than the date 
                        described in clause (ii) of this subparagraph, 
                        the President shall--
                                    ``(I) withdraw the assignment to 
                                Federal Government stations of the 
                                frequencies specified in the 
                                reallocation report (other than the 
                                frequencies identified under paragraph 
                                (1)(B)(iii)); and
                                    ``(II) in the case of the spectrum 
                                identified under paragraph (1)(B)(iii), 
                                limit the assignment to Federal 
                                Government stations as required under 
                                subclause (I) of that paragraph.
                            ``(ii) Date.--The date described in this 
                        clause is the earlier of--
                                    ``(I) the date that is 3 years 
                                after the beginning of the auction of 
                                the frequencies specified in the 
                                reallocation report pursuant to section 
                                309(j)(15)(C)(vii) of the 1934 Act; or
                                    ``(II) the date as of which--
                                            ``(aa) each Federal 
                                        Government station has been 
                                        relocated from the frequencies 
                                        specified in the reallocation 
                                        report (other than the 
                                        frequencies identified under 
                                        paragraph (1)(B)(iii)); and
                                            ``(bb) the assignment of 
                                        the frequencies identified 
                                        under paragraph (1)(B)(iii) to 
                                        each Federal Government station 
                                        has been limited as required 
                                        under subclause (I) of that 
                                        paragraph.
            ``(4) Department of defense stations.--Section 1062(b) of 
        the National Defense Authorization Act for Fiscal Year 2000 
        (Public Law 106-65; 113 Stat. 768) shall apply to the 
        relocation of stations operated by the Department of Defense in 
        the spectrum described in paragraph (1)(A) of this 
        subsection.''.

SEC. 5. SPECTRUM PIPELINE.

    (a) Deadline.--Section 309(j)(15)(C) of the Communications Act of 
1934 (47 U.S.C. 309(j)(15)(C)) is amended by adding at the end the 
following:
                            ``(vii) Deadlines for the auction of 
                        frequency bands under the wireless innovation 
                        act of 2014.--The Commission shall conduct an 
                        auction of--
                                    ``(I) 80 megahertz of the spectrum 
                                recommended for reallocation in the 
                                reallocation report under section 
                                113(m) of the National 
                                Telecommunications and Information 
                                Administration Organization Act not 
                                later than December 31, 2018;
                                    ``(II) an additional 60 megahertz 
                                of the spectrum recommended for 
                                reallocation in the reallocation report 
                                described in subclause (I) not later 
                                than 18 months after the completion of 
                                the auction required under subclause 
                                (I); and
                                    ``(III) an additional 40 megahertz 
                                of the spectrum recommended for 
                                reallocation in the reallocation report 
                                described in subclause (I) not later 
                                than 18 months after the completion of 
                                the auction required under subclause 
                                (II).''.
    (b) Regulations.--Not later than 6 months before the Commission 
commences each auction required under section 309(j)(15)(C)(vii) of the 
Communications Act of 1934, as added by subsection (a), the Commission 
shall promulgate regulations necessary to conduct the auction.
    (c) Technical and Conforming Amendment.--Section 6401(b)(2) of the 
Middle Class Tax Relief and Job Creation Act of 2012 (47 U.S.C. 
1451(b)(2)) is amended--
            (1) by striking subparagraph (C); and
            (2) by redesignating subparagraphs (D) and (E) as 
        subparagraphs (C) and (D), respectively.

SEC. 6. REALLOCATION INCENTIVE.

    (a) Definitions.--In this section--
            (1) the term ``Director'' means the Director of the Office 
        of Management and Budget; and
            (2) the term ``Federal entity'' has the meaning given the 
        term in section 113(l) of the National Telecommunications and 
        Information Administration Organization Act (47 U.S.C. 923(l)).
    (b) Deposit of Proceeds.--Notwithstanding section 309(j)(8)(D) of 
the Communications Act of 1934 (47 U.S.C. 309(j)(8)(D)), if the first 
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)) that takes place after the date 
of enactment of this Act meets the requirements established under 
section 309(j)(16) of the Communications Act of 1934 (47 U.S.C. 
309(j)(16)), an amount equal to 1 percent of the proceeds attributable 
to the auction shall be deposited in the Spectrum Relocation Fund 
established under section 118 of the National Telecommunications and 
Information Administration Organization Act (47 U.S.C. 928) for use in 
accordance with subsection (c) of this section.
    (c) Payments for Advance Planning and Enhanced Spectrum 
Efficiency.--
            (1) In general.--The Director, in consultation with the 
        NTIA, may use the amount made available under subsection (b) to 
        make payments to any Federal entity--
                    (A) to conduct research and development, and 
                operational, technical, cost, and schedule-feasibility 
                analyses, regarding the potential future reallocation 
                of additional spectrum from Federal use to exclusive 
                non-Federal use or to shared use; and
                    (B) to develop and incorporate spectrum efficiency 
                guidelines and spectrally efficient advanced or unique 
                technology or techniques into the budget and 
                procurement processes of the Federal entity to 
                facilitate the design and procurement of Federal 
                spectrum-dependent systems that increase flexibility 
                through means such as multiple-band tuning capabilities 
                and the use of commercial systems as appropriate, 
                including through public-private partnerships.
            (2) Conditions.--
                    (A) Use of payment to estimate costs.--A Federal 
                entity that receives a payment under subparagraph (A) 
                of paragraph (1) to conduct the analyses described in 
                that paragraph shall use the payment to estimate the 
                costs specified in clauses (i) through (v) of section 
                113(g)(3)(A) of the National Telecommunications and 
                Information Administration Organization Act (47 U.S.C. 
                923(g)(3)(A)) with respect to frequencies identified by 
                the Federal entity for potential reallocation.
                    (B) Relocation or sharing costs.--The Director may 
                not make a payment under paragraph (1) if the amount 
                made available under subsection (b) is otherwise 
                necessary to cover relocation or sharing costs (as 
                defined in section 113(g)(3)) of the National 
                Telecommunications and Information Administration 
                Organization Act (47 U.S.C. 923(g)(3))).
                    (C) Notification required.--The Director may not 
                make a payment under paragraph (1) until 30 days after 
                the date as of which the Director has notified the 
                Committee on Commerce, Science, and Transportation of 
                the Senate and the Committee on Energy and Commerce of 
                the House of Representatives of the intent of the 
                Director to make the payment.
                    (D) Emission levels.--A Federal entity that 
                receives a payment under paragraph (1) shall, to the 
                extent possible, procure systems described in 
                subparagraph (B) of that paragraph such that emission 
                levels resulting from reasonable use of adjacent 
                spectrum will not impair the functioning of the 
                systems, consistent with any applicable radio receiver 
                performance criteria and international obligations.
            (3) Annual report.--Each year, the Director shall submit to 
        the Committee on Commerce, Science, and Transportation of the 
        Senate and the Committee on Energy and Commerce of the House of 
        Representatives a report that--
                    (A) describes each payment that the Director made 
                to a Federal entity under this subsection during the 
                preceding year; and
                    (B) details how each Federal entity used each 
                payment described in subparagraph (A).

SEC. 7. EXPEDITING ROUTINE SECONDARY MARKET TRANSACTIONS.

    Section 310 of the Communications Act of 1934 (47 U.S.C. 310) is 
amended by striking subsection (d) and inserting the following:
    ``(d) Assignment and Transfer of Construction Permit or Station 
License.--
            ``(1) In general.--
                    ``(A) Application required.--No construction permit 
                or station license, or any rights thereunder, shall be 
                transferred, assigned, or disposed of in any manner, 
                voluntarily or involuntarily, directly or indirectly, 
                or by transfer of control of any corporation holding 
                such permit or license, to any person except upon 
                application to the Commission and upon finding by the 
                Commission that the public interest, convenience, and 
                necessity will be served thereby.
                    ``(B) Action upon application.--Any application 
                under subparagraph (A) shall be disposed of as if the 
                proposed transferee or assignee were making application 
                under section 308 for the permit or license in 
                question; but in acting thereon the Commission may not 
                consider whether the public interest, convenience, and 
                necessity might be served by the transfer, assignment, 
                or disposal of the permit or license to a person other 
                than the proposed transferee or assignee.
            ``(2) Presumption.--An application to the Commission under 
        paragraph (1) shall be deemed to be in the public interest, 
        convenient, and necessary, and shall be granted not later than 
        90 days after the date on which the Commission issues a public 
        notice of the application, unless the Commission acts to deny 
        the application, if the application--
                    ``(A) does not involve an entity described in 
                subsection (b);
                    ``(B) does not require premerger notification and 
                waiting period under section 7a of the Clayton Act (15 
                U.S.C. 18a); and
                    ``(C) is not a covered transaction under section 
                721 of the Defense Production Act of 1950 (50 U.S.C. 
                App. 2170).''.

SEC. 8. ANALYSIS OF SPECTRUM REQUIREMENTS.

    Section 104(d) of the National Telecommunications and Information 
Administration Organization Act (47 U.S.C. 903(d)) is amended--
            (1) in paragraph (1)--
                    (A) by striking ``In assigning'' and inserting the 
                following:
                    ``(A) In general.--In assigning''; and
                    (B) by adding at the end the following:
                    ``(B) Required analysis.--Before the Secretary may 
                assign frequencies for mobile radio services and other 
                radio services, and subject to subparagraph (C), each 
                Federal agency seeking a new or modified frequency 
                assignment for a mobile service or other radio service 
                shall submit to the Secretary and the Director of the 
                Office of Management and Budget (referred to in this 
                paragraph as the `Director') a report analyzing--
                            ``(i) whether the Federal agency may use 
                        commercial services for the operation of the 
                        service rather than obtain a new or modified 
                        frequency assignment consistent with national 
                        security, public safety and overall ability to 
                        reliably perform the Federal mission, including 
                        an explicit consideration of the cost of 
                        contracting for the commercial service against 
                        the cost of the agency operating on the new or 
                        modified frequency assignment;
                            ``(ii) whether the proposed spectrum 
                        requirements of the Federal agency could--
                                    ``(I) use an existing or planned 
                                service operated by the Federal agency 
                                or another Federal agency; or
                                    ``(II) share a frequency allocation 
                                with an existing Federal agency, 
                                including the use of dynamic and 
                                opportunistic spectrum sharing;
                            ``(iii) whether the Federal agency could--
                                    ``(I) use unlicensed spectrum; or
                                    ``(II) lease capacity from 
                                commercial providers;
                            ``(iv) if the Federal agency cannot use a 
                        commercial or other Federal service, how much 
                        spectrum the Federal agency needs to operate 
                        the service;
                            ``(v) whether the service requires a 
                        frequency assignment below 3 gigahertz; and
                            ``(vi) whether, once the allocation is 
                        made, the Federal agency may share the spectrum 
                        with non-Federal users.
                    ``(C) Review of analysis.--
                            ``(i) In general.--The Secretary, in 
                        consultation with the Director and any Federal 
                        agency that the Secretary may determine 
                        appropriate, shall determine whether to grant a 
                        request of a Federal agency for a new or 
                        modified frequency assignment for a mobile 
                        service or other radio service.
                            ``(ii) Alteration of allocation.--If the 
                        Secretary determines that a request described 
                        in clause (i) is better met through sharing 
                        frequencies or systems with another Federal 
                        agency, the Secretary, in consultation with the 
                        Director, the requesting Federal agency, the 
                        Federal agency with whom the requesting Federal 
                        agency will share systems or allocation, and 
                        any other Federal agency that the Secretary may 
                        determine appropriate, shall alter the 
                        previously granted allocation accordingly.
                    ``(D) Budget and procurement processes.--
                            ``(i) In general.--A Federal agency shall 
                        include spectrum efficiency when considering 
                        procurement of spectrum-dependent systems and 
                        hardware, as a technical requirement, an 
                        evaluation criterion for award, or both.
                            ``(ii) Spectrum efficiency guidelines.--The 
                        NTIA and the Director shall develop and 
                        incorporate spectrum efficiency guidelines into 
                        budget and procurement processes.
                            ``(iii) Purpose and content of 
                        guidelines.--The guidelines developed under 
                        clause (ii) shall--
                                    ``(I) facilitate, as appropriate, 
                                the design and procurement of systems 
                                that increase flexibility through means 
                                such as multiple-band tuning 
                                capabilities and the use of commercial 
                                systems; and
                                    ``(II) require, to the extent 
                                possible, procurement of Federal 
                                systems such that emission levels 
                                resulting from reasonable use of 
                                adjacent spectrum will not impair the 
                                functioning of such systems, consistent 
                                with any applicable radio receiver 
                                performance criteria and international 
                                obligations.
                    ``(E) Transparency of federal spectrum 
                allocations.--
                            ``(i) Public availability.--All requests 
                        for allocation made under this Act shall be 
                        published in the Federal Register.
                            ``(ii) Database.--The NTIA shall maintain a 
                        database of all requests for allocation made 
                        under this Act that is searchable 
                        electronically and available to the public.
                            ``(iii) Public comment permissible.--At the 
                        discretion of the Secretary, the Secretary may 
                        seek public comment on any requested 
                        allocation.
                            ``(iv) National security protected.--Where 
                        necessary to protect the interests of national 
                        security, the Assistant Secretary shall redact 
                        a request for allocation made under this Act 
                        from the public.''; and
            (2) in paragraph (2), by striking ``The Secretary'' and 
        inserting ``In addition to the circumstances described in 
        paragraph (1)(C), the Secretary''.

SEC. 9. FEDERAL SPECTRUM TRANSPARENCY AND VALUE.

    (a) Analysis of Economic Opportunity Cost.--
            (1) Development of framework.--Not later than 1 year after 
        the date of enactment of this Act, the NTIA, in consultation 
        with the Commission and the Director of the Office of 
        Management and Budget, shall develop a framework for 
        determining the annual economic opportunity cost of each 
        specific Federal spectrum band assigned or otherwise allocated 
        for use by Federal entities.
            (2) Scope.--The framework developed under paragraph (1) 
        shall cover all federally allocated spectrum bands between 150 
        megahertz and 6000 megahertz, inclusive.
            (3) Goals.--The goals of the framework developed under 
        paragraph (1) are--
                    (A) to provide Federal entities with a sustained 
                long-term signal of spectrum value to inform the 
                spectrum management decisions of such entities; and
                    (B) to provide the public with increased 
                transparency about how Federal entities use a scarce 
                physical resource.
            (4) Requirements.--The framework developed under paragraph 
        (1) shall--
                    (A) define the term ``opportunity cost'' as the 
                value of the spectrum, in dollar terms, as if such 
                spectrum were to be reallocated on a licensed basis to 
                the highest commercial alternative use that currently 
                does not have access to that spectrum;
                    (B) be updated, on an annual basis, to take into 
                account observed market valuations from spectrum 
                auctions, secondary spectrum trading, and other market 
                indicators of spectrum value;
                    (C) determine the opportunity costs borne by each 
                Federal entity for each spectrum band that is entirely 
                under the control of a single agency; and
                    (D) determine the opportunity costs for spectrum 
                assigned or otherwise allocated to Federal entities for 
                both primary use and secondary use.
    (b) Report on Opportunity Costs.--Each Federal entity that has been 
assigned or otherwise allocated use of a Federal spectrum band shall 
report, as an off-budget item, the opportunity cost borne by the entity 
for each spectrum band the entity uses--
            (1) in the budget of the entity to be included in the 
        budget of the United States Government submitted by the 
        President under section 1105 of title 31, United States Code; 
        and
            (2) in the annual financial statement of the Federal entity 
        required to be filed under section 3515 of title 31, United 
        States Code.
    (c) Spectrum Value Analysis.--Not later than 5 years after the date 
of enactment of this Act, and every 5 years thereafter, each Federal 
entity that has been assigned or otherwise allocated use of a Federal 
spectrum band, or otherwise utilizes such spectrum, shall engage in an 
analysis comparing the opportunity cost of that spectrum, as such cost 
is determined by the framework developed by the NTIA under subsection 
(a), to the projected costs of the entity relocating to other 
government spectrum holdings, co-locating with other government 
agencies, leasing other non-Federal spectrum, or contracting out for 
its spectrum activities.
    (d) Spectrum Technology Study.--
            (1) In general.--Not later than 18 months after the date of 
        enactment of this Act, and every 5 years thereafter, the Chief 
        Technology Officer, in consultation with the Assistant 
        Secretary of Commerce for Communications and Information and 
        the Comptroller General of the United States, shall examine the 
        technologies and equipment used by Federal entities operating 
        on Federal spectrum allocations and determine if such 
        technologies and equipment are the most spectrum-efficient 
        available.
            (2) Certain determinations made.--If the results of any 
        study required under paragraph (1) determine that the 
        technologies and equipment of Federal entities operating on 
        Federal spectrum allocations are not the most spectrum-
        efficient available, the Comptroller General shall determine--
                    (A) what the costs would be to upgrade such systems 
                to more up-to-date and readily available systems;
                    (B) what benefits would be gained from upgrading, 
                particularly any cost savings or increases in spectrum 
                utilization efficiency; and
                    (C) if there are any possible problems with 
                upgrading to more up-to-date systems.
    (e) Spectrum Opportunity Cost and Framework Study.--
            (1) In general.--The Comptroller General of the United 
        States, in consultation with the NTIA, shall--
                    (A) conduct a review of the framework developed 
                under subsection (a);
                    (B) conduct a review of the reports required under 
                subsection (b) and the processes that Federal entities 
                use to evaluate the opportunity cost borne for each 
                spectrum band the Federal entities use; and
                    (C) make recommendations on how to improve such 
                framework and reporting.
            (2) Report.--Not later than 2 years after the date of 
        enactment of this Act, and every 2 years thereafter, the 
        Comptroller General of the United States shall submit to the 
        appropriate committees in Congress a report on the review and 
        recommendations required under paragraph (1).
                                 <all>
```