TITLE 
II—AVAILABILITY 
OF
SPECTRUM FOR ADVANCED
COMMERCIAL MOBILE SERV-
ICES
SEC. 201. AVAILABILITY OF SPECTRUM FOR ADVANCED
COMMERCIAL MOBILE SERVICES.
(a) IDENTIFICATION.—Section 113 of the National
Telecommunications and Information Administration Or-
ganization Act (47 U.S.C. 923) is amended by adding at
the end thereof the following new subsection:
‘‘(j) DESIGNATION OF SPECTRUM FOR ADVANCED
COMMERCIAL MOBILE SERVICES; RELOCATION PLAN.—
‘‘(1) PLAN
REQUIRED.—The Secretary shall,
not later than January 1, 2003, prepare, make pub-
licly available, and submit to the President, the Con-
gress, and the Commission a report that—
‘‘(A) designates bands of frequencies for
reallocation for the provision of advanced com-
mercial mobile services;
‘‘(B) in consultation with the Commission,
establishes a plan for the relocation or modi-
fication of Federal Government stations cur-
rently occupying the band of frequencies located
at 1,710–1,850 megahertz, including a descrip-
tion of the phases by which such relocation or
modification shall be accomplished consistent
with the public interest; and
‘‘(C) designates a 20-megahertz band of
contiguous 
frequencies 
located 
below 
gigahertz, and a band of between 3 and 500
megahertz of contiguous frequencies above 2
gigahertz and below 6 gigahertz, for realloca-
tion to the public for unlicensed use.
‘‘(2) DEADLINES.—
‘‘(A) 
MINIMUM
FOR
2005.—Notwith-
standing any other provision of law, such plan
shall ensure that not less than 30, but not more
than 45, megahertz of paired spectrum is avail-
able and usable for advanced commercial mobile
services by December 31, 2005.
‘‘(B) 
MINIMUM
FOR
2008.—Notwith-
standing any other provision of law, such plan
shall ensure that an additional 50 megahertz of
paired spectrum is made available and usable
for advanced commercial mobile services by De-
cember 31, 2008.
‘‘(C) POTENTIAL
ADDITIONAL
SPECTRUM
FOR TIMELY REALLOCATION.—Notwithstanding
any other provision of law, the Commission
shall ensure that any rules necessary to effec-
tuate the timely transition to digital television
are promulgated and completed by the Commis-
sion prior to making available the bands of fre-
quencies at 747–762 and 777–792 megahertz
for advanced commercial mobile services or
other competitive wireless services. The Com-
mission shall ensure that any plan to achieve
the clearance of such frequencies shall not re-
sult in the unjust enrichment of any incumbent
licensee.
‘‘(D) DEFINITION.—For the purposes of
subparagraph (C), the term ‘rules necessary to
effectuate the timely transition to digital tele-
vision’ includes rules requiring must-carry of
free, over-the-air signals of broadcast television
stations, minimum digital television network
programming and broadcasting requirements,
and rules requiring that models of television re-
ceiver equipment have the capability of dis-
playing digital television signals by certain
dates.’’.
(b) ALLOCATION.—Section 115 of the National Tele-
communications and Information Administration Organi-
zation Act (47 U.S.C. 925) is amended by adding at the
end the following new subsection:
‘‘(d) ALLOCATION
OF SPECTRUM
FOR ADVANCED
COMMERCIAL MOBILE SERVICES.—
‘‘(1) IN GENERAL.—With respect to the fre-
quencies identified in section 113(j)(1)(A) and in
section 113(j)(1)(B), the Commission shall, within
60 days of the release of the report required by sec-
tion 113(j), commence a proceeding to allocate such
frequencies for advanced commercial mobile services
and adopt technical, licensing, and service rules ap-
plicable to such frequencies. Such frequencies shall
be assigned by competitive bidding pursuant to sec-
tion 309(j) of the 1934 Act on a schedule consistent
with the relocation plan established pursuant to sec-
tion 113(j)(1)(B) and the requirements of section
113(g)(1)(A).
‘‘(2) SPECTRUM
COMMONS.—With respect to
the frequencies designated for reallocation pursuant
to section 113(j)(1)(C), the Commission shall estab-
lish any rules necessary for unlicensed use of such
spectrum and make it available to the public by De-
cember 31, 2004.
‘‘(3) PRESERVATION
OF
COMPETITION-BASED
SPECTRUM
POLICY.—The frequencies identified in
paragraph (1) shall be assigned by the Commission
pursuant to section 309(j) of the 1934 Act. In con-
ducting such assignment, the Commission shall rees-
tablish limits on the amount of spectrum that a li-
censee may accumulate or utilize in individual mar-
kets in a manner that is sufficient to ensure, at a
minimum, the same number of unaffiliated licensees
that were competing in such markets as of October
1, 2001.
‘‘(4) 
PRESERVATION
OF
ITFS.—Notwith-
standing any other provision of law, the Commission
shall not commence any proceeding to reallocate the
band of frequencies located at 2,500–2,690 mega-
hertz from instructional television fixed services to
any other service.’’.
SEC. 202. RELOCATION OF FEDERAL GOVERNMENT STA-
TIONS.
(a) RELOCATION FROM SPECTRUM FOR ADVANCED
COMMERCIAL MOBILE SERVICES.—Section 113(g) of Na-
tional Telecommunications and Information Administra-
tion Organization Act (47 U.S.C. 923(g)) is amended by
adding at the end the following new paragraph:
‘‘(4) SPECIAL
PROVISIONS
FOR
RELOCATION
FROM SPECTRUM FOR ADVANCED COMMERCIAL MO-
BILE SERVICES.—
‘‘(A) APPLICABILITY.—The provisions of
this paragraph shall apply in lieu of the provi-
sions of paragraphs (1) through (3) with re-
spect to relocating the operations of Federal en-
tities from the frequencies reallocated to ad-
vanced commercial mobile services under sec-
tion 115(d).
‘‘(B) AUTHORITY TO ACCEPT COMPENSA-
TION.—In order to expedite the commercial use
of the electromagnetic spectrum and notwith-
standing section 3302(b) of title 31, United
States Code, the head of any Federal entity
may accept from the Spectrum Relocation
Trust Fund compensation for the costs of relo-
cating such entity’s operations from one or
more frequencies to another frequency or fre-
quencies. The costs for which the Federal entity
shall be compensated shall be the relocation
costs of the entity’s operations, except that the
entity may be compensated for the replacement
costs of relocating a particular station if the
head of such entity can demonstrate to the
President that such a level of compensation is
vital to the national security or public safety.
‘‘(C) REQUIREMENT TO COMPENSATE FED-
ERAL ENTITIES.—The Federal entity shall be
compensated in advance for the costs that the
Federal entity incurs under subparagraph (B).
Such compensation may take the form of a cash
payment or in-kind compensation. Such com-
pensation shall come from the Spectrum Relo-
cation Trust Fund.
‘‘(D) 
SPECTRUM
RELOCATION
TRUST
FUND.—
‘‘(i) ESTABLISHMENT.—There is es-
tablished in the Treasury a Spectrum Relo-
cation Trust Fund (referred to in this sub-
paragraph as the ’Fund’), consisting of
amounts deposited pursuant to section
309(j)(8)(D)(i) of the 1934 Act.
‘‘(ii) EXPENDITURE OF AMOUNTS FOR
REIMBURSEMENT
OF
RELOCATED
OPER-
ATIONS.—The Secretary of the Treasury
shall transfer from the Fund to each Fed-
eral entity the sums identified under sub-
paragraph (B) to pay the costs of reloca-
tion or modification of the entity’s stations
and the head of such entity shall use such
sums to make payments to satisfy such
costs.
‘‘(iii) MAXIMUM
DEPOSITS.—If the
NTIA determines that the proceeds of an
SEC. 203. DEFINITIONS.
Section 111 of the National Telecommunications and
Information Administration Organization Act (47 U.S.C.
921) is amended by adding at the end the following new
paragraphs:
‘‘(4) The term ‘relocation costs’ means the costs
that will be incurred by a Federal entity to achieve
comparable capability of systems that are relocated
to a new frequency assignment or band or otherwise
modified, including the costs of any modification, re-
placement, or reissuance of equipment and facilities
incurred by that entity.
‘‘(5) The term ‘replacement costs’ means the
costs that would be incurred by a Federal entity to
replace existing equipment or facilities in order to
relocate to a new frequency assignment or band.’’.
TITLE 
III—DISTRIBUTION 
OF
PROCEEDS OF AUCTIONS FOR
ADVANCED COMMERCIAL MO-
BILE SERVICES
SEC. 301. DIVISION BETWEEN TRUST FUNDS.
Section 309(j)(8) of the Communications Act of 1934
(47 U.S.C. 309(j)(8)) is amended—
(1) in subparagraph (A), by striking ‘‘subpara-
graph (B)’’ and inserting ‘‘subparagraphs (B) and
(D)’’; and
(2) by adding at the end the following new sub-
paragraph:
‘‘(D) PROCEEDS
OF
AUCTIONS
FOR
AD-
VANCED COMMERCIAL MOBILE SERVICES.—Not-
withstanding subparagraph (A), the proceeds of
any competitive bidding under this subsection
with respect to the spectrum allocated for ad-
vanced commercial mobile services pursuant to
section 115(d)(1) of the National Telecommuni-
cations and Information Administration Organi-
zation Act shall, after the deduction of salaries
and expenses required by subparagraph (B), be
allocated as follows:
‘‘(i) the first $5,000,000,000 shall be
deposited in the Relocated Federal Entities
Trust 
Fund 
established 
BY 
section
113(g)(4)(D) of such Act; and
‘‘(ii) the remainder of the proceeds of
such competitive bidding shall be deposited
in the Digital Dividends Trust Fund estab-
lished by section 309A of this Act.’’.
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