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[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5419 Enrolled Bill (ENR)]

        H.R.5419

                       One Hundred Eighth Congress

                                 of the

                        United States of America

                          AT THE SECOND SESSION

          Begun and held at the City of Washington on Tuesday,
           the twentieth day of January, two thousand and four

                                 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.

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

                             TITLE I--E-911

SEC. 101. SHORT TITLE.

    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.

    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.

    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.

    ``(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. 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) 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) 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

SEC. 201. SHORT TITLE.

    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. 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. 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. 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.

    ``(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 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) 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) 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) 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) 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.

     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.

    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) 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) 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

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) 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).

                               Speaker of the House of Representatives.

                            Vice President of the United States and    
                                               President of the Senate.
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