162 
(m) ENFORCEMENT AND PREVENTION OF FRAUD 
AND ABUSE.—The Secretary shall establish and imple-
ment procedures to prevent fraud and abuse of funds 
under this section, and shall impose a requirement that 
grantees have an internal auditor to continuously monitor 
grantee performance to prevent fraud, waste, and abuse. 
Grantees shall provide the Secretary and citizens with 
quarterly progress reports. The Secretary shall recapture 
funds from formula and competitive grantees that do not 
expend 100 percent of allocated funds within 3 years of 
the date that funds become available, and from underper-
forming or mismanaged grantees, and shall re-allocate 
those funds by formula to target areas with the greatest 
need, as determined by the Secretary through notice. The 
Secretary may take an alternative sanctions action only 
upon determining that such action is necessary to achieve 
program goals in a timely manner. 
(n) The Secretary of Housing and Urban Develop-
ment shall to the extent feasible conform policies and pro-
cedures for grants made under this section to the policies 
and practices already in place for the grants made under 
section 2301 of the Housing and Economic Recovery Act 
of 2008; division A, title XII of the American Recovery 
and Reinvestment Act of 2009; or section 1497 of the 
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163 
Dodd-Frank Wall Street Reform and Consumer Protec-
tion Act. 
Subtitle H—National Wireless 
Initiative 
SEC. 271. DEFINITIONS. 
In this subtitle, the following definitions shall apply: 
(1) 700 MHZ
BAND.—The term ‘‘700 MHz 
band’’ means the portion of the electromagnetic 
spectrum between the frequencies from 698 mega-
hertz to 806 megahertz. 
(2) 700 MHZ D BLOCK SPECTRUM.—The term 
‘‘700 MHz D block spectrum’’ means the portion of 
the electromagnetic spectrum frequencies from 758 
megahertz to 763 megahertz and from 788 mega-
hertz to 793 megahertz. 
(3) 
APPROPRIATE
COMMITTEES
OF
CON-
GRESS.—Except as otherwise specifically provided, 
the term ‘‘appropriate committees of Congress’’ 
means— 
(A) the Committee on Commerce, Science, 
and Transportation of the Senate; and 
(B) the Committee on Energy and Com-
merce of the House of Representatives. 
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164 
(4) ASSISTANT SECRETARY.—The term ‘‘Assist-
ant Secretary’’ means the Assistant Secretary of 
Commerce for Communications and Information. 
(5) COMMISSION.—The term ‘‘Commission’’ 
means the Federal Communications Commission. 
(6) CORPORATION.—The term ‘‘Corporation’’ 
means the Public Safety Broadband Corporation es-
tablished in section 284. 
(7) EXISTING
PUBLIC
SAFETY
BROADBAND 
SPECTRUM.—The 
term 
‘‘existing 
public 
safety 
broadband spectrum’’ means the portion of the elec-
tromagnetic spectrum between the frequencies— 
(A) from 763 megahertz to 768 megahertz; 
(B) from 793 megahertz to 798 mega-
hertz; 
(C) from 768 megahertz to 769 megahertz; 
and 
(D) from 798 megahertz to 799 mega-
hertz. 
(8) FEDERAL ENTITY.—The term ‘‘Federal en-
tity’’ has the same meaning as in section 113(i) of 
the National Telecommunications and Information 
Administration Organization Act (47 U.S.C. 923(i)). 
(9) 
NARROWBAND
SPECTRUM.—The 
term 
‘‘narrowband spectrum’’ means the portion of the 
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165 
electromagnetic spectrum between the frequencies 
from 769 megahertz to 775 megahertz and between 
the frequencies from 799 megahertz to 805 mega-
hertz. 
(10) NIST.—The term ‘‘NIST’’ means the Na-
tional Institute of Standards and Technology. 
(11) NTIA.—The term ‘‘NTIA’’ means the Na-
tional Telecommunications and Information Admin-
istration. 
(12) PUBLIC SAFETY ENTITY.—The term ‘‘pub-
lic safety entity’’ means an entity that provides pub-
lic safety services. 
(13) PUBLIC
SAFETY
SERVICES.—The term 
‘‘public safety service’’— 
(A) has the meaning given the term in sec-
tion 337(f) of the Communications Act of 1934 
(47 U.S.C. 337(f)); and 
(B) includes services provided by emer-
gency response providers, as that term is de-
fined in section 2 of the Homeland Security Act 
of 2002 (6 U.S.C. 101). 
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166 
PART I—AUCTIONS OF SPECTRUM AND 
SPECTRUM MANAGEMENT 
SEC. 272. CLARIFICATION OF AUTHORITIES TO REPURPOSE 
FEDERAL SPECTRUM FOR COMMERCIAL PUR-
POSES. 
(a) Paragraph (1) of section 113(g) of the National 
Telecommunications and Information Administration Or-
ganization Act (47 U.S.C. 923(g)) is amended to read as 
follows: 
‘‘(1) ELIGIBLE FEDERAL ENTITIES.—Any Fed-
eral entity that operates a Federal Government sta-
tion authorized to use a band of frequencies speci-
fied in paragraph (2) and that incurs relocation 
costs because of planning for a potential auction of 
spectrum frequencies, a planned auction of spectrum 
frequencies or the reallocation of spectrum fre-
quencies from Federal use to exclusive non-Federal 
use, or shared Federal and non-Federal use may re-
ceive payment for such costs from the Spectrum Re-
location 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 identi-
fied for reallocation pursuant to subsection (a), are 
eligible to receive payment under this paragraph.’’. 
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167 
(b) ELIGIBLE FREQUENCIES.—Section 113(g)(2)(B) 
of the National Telecommunications and Information Ad-
ministration Organization Act (47 U.S.C. 923(g)(2)(B)) 
is amended to read as follows: 
‘‘(B) any other band of frequencies reallo-
cated from Federal use to non-Federal or 
shared use after January 1, 2003, that is as-
signed by competitive bidding pursuant to sec-
tion 309(j) of the Communications Act of 1934 
(47 U.S.C 309(j)) or is assigned as a result of 
later legislation or other administrative direc-
tion.’’. 
(c) Paragraph (3) of section 113(g) of the National 
Telecommunications and Information Administration Or-
ganization Act (47 U.S.C. 923(g)) is amended to read as 
follows: 
‘‘(3) DEFINITION OF RELOCATION AND SHAR-
ING COSTS.—For purposes of this subsection, the 
terms ‘relocation costs’ and ‘sharing costs’ mean the 
costs incurred by a Federal entity to plan for a po-
tential or planned auction or sharing of spectrum 
frequencies and to achieve comparable capability of 
systems, regardless of whether that capability is 
achieved by relocating to a new frequency assign-
ment, relocating a Federal Government station to a 
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168 
different geographic location, modifying Federal gov-
ernment equipment to mitigate interference or use 
less spectrum, in terms of bandwidth, geography or 
time, and thereby permitting spectrum sharing (in-
cluding sharing among relocated Federal entities 
and incumbents to make spectrum available for non- 
Federal use) or relocation, or by utilizing an alter-
native technology. Comparable capability of systems 
includes the acquisition of state-of-the art replace-
ment systems intended to meet comparable oper-
ational scope, which may include incidental increases 
in functionality. Such costs include— 
‘‘(A) the costs of any modification or re-
placement of equipment, spares, associated an-
cillary equipment, software, facilities, operating 
manuals, training costs, or regulations that are 
attributable to relocation or sharing; 
‘‘(B) the costs of all engineering, equip-
ment, software, site acquisition and construc-
tion costs, as well as any legitimate and pru-
dent transaction expense, including term-limited 
Federal civil servant and contractor staff nec-
essary, which may be renewed, to carry out the 
relocation activities of an eligible Federal entity, 
and reasonable additional costs incurred by the 
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169 
Federal entity that are attributable to reloca-
tion or sharing, including increased recurring 
costs above recurring costs of the system before 
relocation for the remaining estimated life of 
the system being relocated; 
‘‘(C) the costs of research, engineering 
studies, economic analyses, or other expenses 
reasonably incurred in connection with (i) cal-
culating the estimated relocation costs that are 
provided to the Commission pursuant to para-
graph (4) of this subsection, or in calculating 
the estimated sharing costs; (ii) determining the 
technical or operational feasibility of relocation 
to one or more potential relocation bands; or 
(iii) planning for or managing a relocation or 
sharing project (including spectrum coordina-
tion with auction winners) or potential reloca-
tion or sharing project; 
‘‘(D) the one-time costs of any modifica-
tion of equipment reasonably necessary to ac-
commodate commercial use of shared fre-
quencies or, in the case of frequencies reallo-
cated to exclusive commercial use, prior to the 
termination of the Federal entity’s primary allo-
cation or protected status, when the eligible fre-
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170 
quencies as defined in paragraph (2) of this 
subsection are made available for private sector 
uses by competitive bidding and a Federal enti-
ty retains primary allocation or protected status 
in those frequencies for a period of time after 
the completion of the competitive bidding proc-
ess; 
‘‘(E) the costs associated with the acceler-
ated replacement of systems and equipment if 
such acceleration is necessary to ensure the 
timely relocation of systems to a new frequency 
assignment or the timely accommodation of 
sharing of Federal frequencies; and 
‘‘(F) the costs of the use of commercial 
systems and services (including systems not uti-
lizing spectrum) to replace Federal systems dis-
continued or relocated pursuant to this Act, in-
cluding lease, subscription, and equipment costs 
over an appropriate period, such as the antici-
pated life of an equivalent Federal system or 
other period determined by the Director of the 
Office of Management and Budget.’’. 
(d) Section 113(g) of the National Telecommuni-
cations and Information Administration Organization Act 
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171 
(47 U.S.C. 923(g)) is amended by adding at the end the 
following: 
‘‘(7) SPECTRUM SHARING.—Federal entities are 
permitted to allow access to their frequency assign-
ments by non-Federal entities upon approval of the 
terms of such access by NTIA, in consultation with 
the Office of Management and Budget. Such non- 
Federal entities must comply with all applicable 
rules of the Commission and NTIA, including any 
regulations promulgated pursuant to this section. 
Remuneration associated with such access shall be 
deposited into the Spectrum Relocation Fund. Fed-
eral entities that incur costs as a result of such ac-
cess are eligible for payment from the Fund for the 
purposes specified in paragraph (3) of this section. 
The revenue associated with such access must be at 
least 110 percent of the estimated Federal costs.’’. 
(e) Section 118 of such Act (47 U.S.C. 928) is 
amended— 
(1) in subsection (b), by inserting before the pe-
riod at the end the following: ‘‘and any payments 
made by non-Federal entities for access to Federal 
spectrum pursuant to section 113(g)(7)’’; 
(2) by amending subsection (c) to read as fol-
lows: 
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172 
‘‘(c) The amounts in the Fund from auctions of eligi-
ble frequencies are authorized to be used to pay relocation 
costs, as defined in section 113(g)(3), of an eligible Fed-
eral entity incurring such costs with respect to relocation 
from any eligible frequency. In addition, the amounts in 
the Fund from payments by non-Federal entities for ac-
cess to Federal spectrum are authorized to be used to pay 
Federal costs associated with such sharing, as defined in 
section 113(g)(3). The Director of the Office of Manage-
ment and Budget (OMB) may transfer at any time (in-
cluding prior to any auction or contemplated auction, or 
sharing initiative) such sums as may be available in the 
Fund to an eligible Federal entity to pay eligible relocation 
or sharing costs related to pre-auction estimates or re-
search as defined in subparagraph (C) of section 
113(g)(3). However, the Director may not transfer more 
than $100,000,000 during the period beginning on the 
date of enactment of the American Jobs Act of 2011 and 
ending on September 30, 2021, for authorized pre-auction 
activities before an auction is completed and proceeds are 
deposited in the Spectrum Relocation Fund. Within the 
$100,000,000 that may be transferred before an auction, 
the Director of OMB may transfer up to $10,000,000 in 
total to eligible Federal entities for eligible relocation or 
sharing costs related to pre-auction estimates or research 
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173 
as defined in subparagraph (C) of section 113(g)(3) for 
costs incurred prior to the enactment of the American 
Jobs Act of 2011, but after June 28, 2010. These 
amounts transferred pursuant to the previous proviso are 
in addition to amounts that the Director of OMB may 
transfer after the enactment of such Act.’’; 
(3) in subsection (d)— 
(A) in paragraph (1), by inserting ‘‘and 
sharing’’ before ‘‘costs’’; 
(B) in paragraph (2)(B)— 
(i) by inserting ‘‘and sharing’’ before 
‘‘costs’’; and 
(ii) by adding ‘‘and sharing’’ before 
the period at the end; and 
(C) by amending paragraph (3) to read as 
follows: 
‘‘(3) Any amounts in the Fund that are remain-
ing after the payment of the relocation and sharing 
costs that are payable from the Fund shall revert to 
and be deposited in the general fund of the Treasury 
not later than 15 years after the date of the deposit 
of such proceeds to the Fund, unless the Director of 
OMB, in consultation with the Assistant Secretary 
for Communications and Information, notifies the 
Committees on Appropriations and Energy and 
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174 
Commerce of the House of Representative and the 
Committees on Appropriations and Commerce, 
Science, and Transportation of the Senate at least 
60 days in advance of the reversion of the funds to 
the general fund of the Treasury that such funds are 
needed to complete or to implement current or fu-
ture relocations or sharing initiatives.’’; 
(4) in subsection (e)(2)— 
(A) by inserting ‘‘and sharing’’ before 
‘‘costs’’; 
(B) by inserting ‘‘or sharing’’ before ‘‘is 
complete’’; and 
(C) by inserting ‘‘or sharing’’ before ‘‘in 
accordance’’; and 
(5) by adding at the end the following new sub-
section: 
‘‘(f) Notwithstanding subsections (c) through (e) of 
this section and after the amount specified in subsection 
(b), up to twenty percent of the amounts deposited in the 
Spectrum Relocation Fund from the auction of licenses 
following the date of enactment of the American Jobs Act 
of 2011 for frequencies vacated by Federal entities, or up 
to twenty percent of the amounts paid by non-Federal en-
tities for sharing of Federal spectrum after the date of 
enactment, are hereby appropriated and available at the 
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175 
discretion of the Director of the Office of Management and 
Budget, in consultation with the Assistant Secretary for 
Communications and Information, for payment to the eli-
gible Federal entities, in addition to the relocation and 
sharing costs defined in paragraph (3) of section 113(g), 
for the purpose of encouraging timely access to those fre-
quencies, provided that: 
‘‘(1) Such payments may be based on the mar-
ket value of the spectrum, timeliness of clearing, and 
needs for agencies’ essential missions. 
‘‘(2) Such payments are authorized for— 
‘‘(A) the purposes of achieving enhanced 
capabilities of systems that are affected by the 
activities 
specified 
in 
subparagraphs 
(A) 
through (F) of paragraph (3) of section 113(g); 
and 
‘‘(B) other communications, radar and 
spectrum-using investments not directly af-
fected by such reallocation or sharing but essen-
tial for the missions of the Federal entity that 
is relocating its systems or sharing frequencies. 
‘‘(3) The increase to the Fund due to any one 
auction after any payment is not less than 10 per-
cent of the winning bids in the relevant auction, or 
is not less than 10 percent of the payments from 
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176 
non-Federal entities in the relevant sharing agree-
ment. 
‘‘(4) Payments to eligible entities must be based 
on the proceeds generated in the auction that an eli-
gible entity participates in. 
‘‘(5) Such payments will not be made until 30 
days after the Director of OMB has notified the 
Committees on Appropriations and Commerce, 
Science, and Transportation of the Senate, and the 
Committees on Appropriations and Energy and 
Commerce of the House of Representatives.’’. 
(f) Subparagraph (D) of section 309(j)(8) of the 
Communications Act of 1934 (47 U.S.C. 309(j)(8)) is 
amended— 
(1) by inserting ‘‘, after the retention of rev-
enue described in subparagraph (B),’’ before ‘‘attrib-
utable’’; and 
(2) by inserting ‘‘and frequencies identified by 
the Federal Communications Commission to be auc-
tioned in conjunction with eligible frequencies de-
scribed in such section’’ before the first ‘‘shall’’ in 
the subparagraph. 
(g) If the head of an executive agency of the Federal 
Government determines that public disclosure of any in-
formation contained in notifications and reports required 
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by section 113 or 118 of the National Telecommunications 
and Information Administration Organization Act (47 
U.S.C. 923; 928) would reveal classified national security 
information or other information for which there is a legal 
basis for nondisclosure and such public disclosure would 
be detrimental to national security, homeland security, 
public safety, or jeopardize law enforcement investigations 
the head of the executive agency shall notify the NTIA 
of that determination prior to release of such information. 
In that event, such information shall be included in a sepa-
rate annex, as needed and to the extent the agency head 
determines is consistent with national security or law en-
forcement purposes. These annexes shall be provided to 
the appropriate subcommittee in accordance with applica-
ble stipulations, but shall not be disclosed to the public 
or provided to any unauthorized person through any other 
means. 
SEC. 273. INCENTIVE AUCTION AUTHORITY. 
Paragraph (8) of section 309(j) of the Communica-
tions Act of 1934 (47 U.S.C. 309(j)) is amended— 
(1) in subparagraph (A), by striking ‘‘and (E)’’ 
and inserting ‘‘(E), and (F)’’; and 
(2) by adding at the end the following new sub-
paragraphs: 
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178 
‘‘(F) Notwithstanding any other provision 
of law, if the Commission determines that it is 
consistent with the public interest in utilization 
of the spectrum for a licensee to voluntarily re-
linquish some or all of its licensed spectrum 
usage rights in order to permit the assignment 
of new initial licenses through a competitive 
bidding process subject to new service rules, or 
the designation of spectrum for unlicensed use, 
the Commission may pay to such licensee a por-
tion of any auction proceeds that the Commis-
sion determines, in its discretion, are attrib-
utable to the spectrum usage rights voluntarily 
relinquished by such licensee. If the Commis-
sion also determines that it is in the public in-
terest to modify the spectrum usage rights of 
any incumbent licensee in order to facilitate the 
assignment of such new initial licenses subject 
to new service rules, or the designation of spec-
trum for unlicensed use, the Commission may 
pay to such licensee a portion of the auction 
proceeds for the purpose of relocating to any al-
ternative frequency or location that the Com-
mission may designate; Provided, however, that 
with respect to frequency bands between 54 
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megahertz and 72 megahertz, 76 megahertz 
and 88 megahertz, 174 megahertz and 216 
megahertz, and 470 megahertz and 698 mega-
hertz (‘the specified bands’), any spectrum 
made available for alternative use utilizing pay-
ments authorized under this subsection shall be 
assigned via the competitive bidding process 
until the winning bidders for licenses covering 
at least 84 megahertz from the specified bands 
deposit the full amount of their bids in accord-
ance with the Commission’s instructions. In ad-
dition, if more than 84 megahertz of spectrum 
from the specified bands is made available for 
alternative use utilizing payments under this 
subsection, and such spectrum is assigned via 
competitive bidding, a portion of the proceeds 
may be disbursed to licensees of other fre-
quency bands for the purpose of making addi-
tional spectrum available, provided that a ma-
jority of such additional spectrum is assigned 
via competitive bidding. Also, provided that in 
exercising the authority provided under this sec-
tion: 
‘‘(i) The Chairman of the Commis-
sion, in consultation with the Director of 
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OMB, shall notify the Committees on Ap-
propriations and Commerce, Science, and 
Transportation of the Senate, and the 
Committees on Appropriations and Energy 
and Commerce of the House of Represent-
atives of the methodology for calculating 
such payments to licensees at least 3 
months in advance of the relevant auction, 
and that such methodology consider the 
value of spectrum vacated in its current 
use and the timeliness of clearing. 
‘‘(ii) Notwithstanding subparagraph 
(A), and except as provided in subpara-
graphs (B), (C), and (D), all proceeds (in-
cluding deposits and up front payments 
from successful bidders) from the auction 
of spectrum under this subparagraph and 
section 277 of the American Jobs Act of 
2011 shall be deposited with the Public 
Safety Trust Fund established under sec-
tion 297 of such Act. 
‘‘(G) ESTABLISHMENT OF INCENTIVE AUC-
TION RELOCATION FUND.— 
‘‘(i) IN
GENERAL.—There is estab-
lished in the Treasury of the United States 
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a fund to be known as the ‘Incentive Auc-
tion Relocation Fund’. 
‘‘(ii) ADMINISTRATION.—The Assist-
ant Secretary shall administer the Incen-
tive Auction Relocation Fund using the 
amounts deposited pursuant to this sec-
tion. 
‘‘(iii) CREDITING
OF
RECEIPTS.— 
There shall be deposited into or credited to 
the Incentive Auction Relocation Fund any 
amounts specified in section 297 of the 
American Jobs Act of 2011. 
‘‘(iv) AVAILABILITY.—Amounts in the 
Incentive Auction Relocation Fund shall be 
available to the NTIA for use— 
‘‘(I) without fiscal year limita-
tion; 
‘‘(II) for a period not to exceed 
18 months following the later of— 
‘‘(aa) the completion of in-
centive auction from which such 
amounts were derived; 
‘‘(bb) the date on which the 
Commission issues all the new 
channel assignments pursuant to 
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182 
any repacking required under 
subparagraph (F); or 
‘‘(cc) the issuance of a con-
struction permit by the Commis-
sion for a station to change chan-
nels, geographic locations, to col-
locate on the same channel or no-
tification by a station to the As-
sistant Secretary that it is im-
pacted by such a change; and 
‘‘(III) without further appropria-
tion. 
‘‘(v) USE OF FUNDS.—Amounts in the 
Incentive Auction Relocation Fund may 
only be used by the NTIA, in consultation 
with the Commission, to cover— 
‘‘(I) the reasonable costs of tele-
vision broadcast stations that are relo-
cated to a different spectrum channel 
or geographic location following an in-
centive auction under subparagraph 
(F), or that are impacted by such re-
locations, including to cover the cost 
of new equipment, installation, and 
construction; and 
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‘‘(II) the costs incurred by multi-
channel video programming distribu-
tors for new equipment, installation, 
and construction related to the car-
riage of such relocated stations or the 
carriage of stations that voluntarily 
elect to share a channel, but retain 
their existing rights to carriage pursu-
ant to sections 338, 614, and 615.’’. 
SEC. 274. REQUIREMENTS WHEN REPURPOSING CERTAIN 
MOBILE SATELLITE SERVICES SPECTRUM 
FOR TERRESTRIAL BROADBAND USE. 
To the extent that the Commission makes available 
terrestrial broadband rights on spectrum primarily li-
censed for mobile satellite services, the Commission shall 
recover a significant portion of the value of such right ei-
ther through the authority provided in section 309(j) of 
the Communications Act of 1934 (47 U.S.C. 309(j)) or 
by section 309(m) of such Act, as added by section 278. 
SEC. 275. PERMANENT EXTENSION OF AUCTION AUTHOR-
ITY. 
Section 309(j)(11) of the Communications Act of 
1934 (47 U.S.C. 309(j)(11)) is repealed. 
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SEC. 276. AUTHORITY TO AUCTION LICENSES FOR DOMES-
TIC SATELLITE SERVICES. 
Section 309(j) of the Communications Act of 1934 
is amended by adding at the end the following: 
‘‘(17) Notwithstanding any other provision of 
law, the Commission shall use competitive bidding 
under this subsection to assign any license, construc-
tion permit, reservation, or similar authorization or 
modification thereof, that may be used solely or pre-
dominantly for domestic satellite communications 
services, including satellite-based television or radio 
services. A service is defined to be predominantly for 
domestic satellite communications services if the ma-
jority of customers that may be served are located 
within the geographic boundaries of the United 
States. The Commission may, however, use an alter-
native approach to assignment of such licenses or 
similar authorities if it finds that such an alternative 
to competitive bidding would serve the public inter-
est, convenience, and necessity. This paragraph shall 
be effective on the date of its enactment and shall 
apply to all Commission assignments or reservations 
of spectrum for domestic satellite services, including, 
but not limited to, all assignments or reservations 
for satellite-based television or radio services as of 
the effective date.’’. 
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SEC. 277. DIRECTED AUCTION OF CERTAIN SPECTRUM. 
(a) IDENTIFICATION OF SPECTRUM.—Not later than 
1 year after the date of enactment of this subtitle, the 
Assistant Secretary shall identify and make available for 
immediate reallocation, at a minimum, 15 megahertz of 
contiguous spectrum at frequencies located between 1675 
megahertz and 1710 megahertz, inclusive, minus the geo-
graphic exclusion zones, or any amendment thereof, identi-
fied in NTIA’s October 2010 report entitled ‘‘An Assess-
ment of Near-Term Viability of Accommodating Wireless 
Broadband Systems in 1675–1710 MHz, 1755–1780 
MHz, 3500–3650 MHz, and 4200–4220 MHz, 4380– 
4400 MHz Bands,’’ to be made available for reallocation 
or sharing with incumbent Government operations. 
(b) AUCTION.—Not later than January 31, 2016, the 
Commission shall conduct, in such combination as deemed 
appropriate by the Commission, the auctions of the fol-
lowing licenses covering at least the frequencies described 
in this section, by commencing the bidding for— 
(1) the spectrum between the frequencies of 
1915 megahertz and 1920 megahertz, inclusive; 
(2) the spectrum between the frequencies of 
1995 megahertz and 2000 megahertz, inclusive; 
(3) the spectrum between the frequencies of 
2020 megahertz and 2025 megahertz, inclusive; 
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(4) the spectrum between the frequencies of 
2155 megahertz and 2175 megahertz, inclusive; 
(5) the spectrum between the frequencies of 
2175 megahertz and 2180 megahertz, inclusive; and 
(6) at least 25 megahertz of spectrum between 
the frequencies of 1755 megahertz and 1850 mega-
hertz, minus appropriate geographic exclusion zones 
if necessary, unless the President of the United 
States determines that— 
(A) such spectrum should not be reallo-
cated due to the need to protect incumbent 
Federal operations or reallocation must be de-
layed or progressed in phases to ensure protec-
tion or continuity of Federal operations; and 
(B) allocation of other spectrum— 
(i) better serves the public interest, 
convenience, and necessity; and 
(ii) can reasonably be expected to 
produce receipts comparable to auction of 
spectrum frequencies identified in this 
paragraph. 
The Commission may substitute alternative spectrum fre-
quencies for the spectrum frequencies identified in para-
graphs (1) through (5) of this subsection, if the Commis-
sion determines that alternative spectrum would better 
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serve the public interest and the Office of Management 
and Budget certifies that such alternative spectrum fre-
quencies are reasonably expected to produce receipts com-
parable to auction of the spectrum frequencies identified 
in paragraphs (1) through (5) of this subsection. 
(c) AUCTION ORGANIZATION.—The Commission may, 
if technically feasible and consistent with the public inter-
est, combine the spectrum identified in paragraphs (4), 
(5), and the portion of paragraph (6) between the fre-
quencies of 1755 megahertz and 1850 megahertz, inclu-
sive, of subsection (b) in an auction of licenses for paired 
spectrum blocks. 
(d) FURTHER REALLOCATION OF CERTAIN OTHER 
SPECTRUM.— 
(1) COVERED SPECTRUM.—For purposes of this 
subsection, the term ‘‘covered spectrum’’ means the 
portion of the electromagnetic spectrum between the 
frequencies of 3550 to 3650 megahertz, inclusive, 
minus the geographic exclusion zones, or any amend-
ment thereof, identified in NTIA’s October 2010 re-
port entitled ‘‘An Assessment of Near-Term Viabil-
ity of Accommodating Wireless Broadband Systems 
in 1675–1710 MHz, 1755–1780 MHz, 3500–3650 
MHz, and 4200–4220 MHz, 4380–4400 MHz 
Bands’’. 
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(2) IN
GENERAL.—Consistent with require-
ments of section 309(j) of the Communications Act 
of 1934, the Commission shall reallocate covered 
spectrum for assignment by competitive bidding or 
allocation to unlicensed use, minus appropriate ex-
clusion zones if necessary, unless the President of 
the United States determines that— 
(A) such spectrum cannot be reallocated 
due to the need to protect incumbent Federal 
systems from interference; or 
(B) allocation of other spectrum— 
(i) better serves the public interest, 
convenience, and necessity; and 
(ii) can reasonably be expected to 
produce receipts comparable to what the 
covered spectrum might auction for with-
out the geographic exclusion zones. 
(3) ACTIONS REQUIRED IF COVERED SPECTRUM 
CANNOT BE REALLOCATED.— 
(A) IN GENERAL.—If the President makes 
a determination under paragraph (2) that the 
covered spectrum cannot be reallocated, then 
the President shall, within 1 year after the date 
of such determination— 
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(i) identify alternative bands of fre-
quencies totaling more than 20 megahertz 
and no more than 100 megahertz of spec-
trum used primarily by Federal agencies 
that satisfy the requirements of clauses (i) 
and (ii) of paragraph (2)(B); 
(ii) report to the appropriate commit-
tees of Congress and the Commission an 
identification of such alternative spectrum 
for assignment by competitive bidding; and 
(iii) make such alternative spectrum 
for assignment immediately available for 
reallocation. 
(B) AUCTION.—If the President makes a 
determination under paragraph (2) that the 
covered spectrum cannot be reallocated, the 
Commission shall commence the bidding of the 
alternative spectrum identified pursuant to sub-
paragraph (A) within 3 years of the date of en-
actment of this subtitle. 
(4) ACTIONS REQUIRED IF COVERED SPECTRUM 
CAN BE REALLOCATED.—If the President does not 
make a determination under paragraph (2) that the 
covered spectrum cannot be reallocated, the Commis-
sion shall commence the competitive bidding for the 
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covered spectrum within 3 years of the date of en-
actment of this subtitle. 
(e) AMENDMENTS TO DESIGN REQUIREMENTS RE-
LATED TO COMPETITIVE BIDDING.—Section 309(j) of the 
Communications Act of 1934 (47 U.S.C. 309(j)) is 
amended— 
(1) in paragraph (3)— 
(A) in subparagraph (E)(ii), by striking ‘‘; 
and’’ and inserting a semicolon; 
(B) in subparagraph (F), by striking the 
period at the end and inserting ‘‘; and’’; and 
(C) by adding at the end the following: 
‘‘(G) ensuring that there is an adequate 
opportunity for applicants to obtain licenses 
covering both large and small geographic areas, 
as such areas are determined by the Commis-
sion.’’; and 
(2) in paragraph (8)(C), by amending clause (i) 
to read as follows: 
‘‘(i) the deposits— 
‘‘(I) of successful bidders of any 
auction conducted pursuant to sub-
paragraph (F) or section 277 of the 
American Jobs Act of 2011 shall be 
paid to the Public Safety Trust Fund 
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established under section 297 of such 
Act; and 
‘‘(II) of successful bidders of any 
other auction shall be paid to the 
Treasury;’’. 
SEC. 278. AUTHORITY TO ESTABLISH SPECTRUM LICENSE 
USER FEES. 
Section 309 of the Communications Act of 1934 (47 
U.S.C. 309) is amended by adding at the end the following 
new subsection: 
‘‘(m) USE OF SPECTRUM LICENSE USER FEES.— 
‘‘(1) IN GENERAL.—For initial licenses or con-
struction permits that are not granted through the 
use of competitive bidding as set forth in subsection 
(j), and for renewals or modifications of initial li-
censes or other authorizations, whether granted 
through competitive bidding or not, the Commission 
may, where warranted, establish, assess, and collect 
annual user fees on holders of spectrum licenses or 
construction permits, including their successors or 
assignees, in order to promote efficient and effective 
use of the electromagnetic spectrum. 
‘‘(2) REQUIRED COLLECTIONS.—The Commis-
sion shall collect at least the following amounts: 
‘‘(A) $200,000,000 in fiscal year 2012. 
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‘‘(B) $300,000,000 in fiscal year 2013. 
‘‘(C) $425,000,000 in fiscal year 2014. 
‘‘(D) $550,000,000 in fiscal year 2015. 
‘‘(E) $550,000,000 in fiscal year 2016. 
‘‘(F) $550,000,000 in fiscal year 2017. 
‘‘(G) $550,000,000 in fiscal year 2018. 
‘‘(H) $550,000,000 in fiscal year 2019. 
‘‘(I) $550,000,000 in fiscal year 2020. 
‘‘(J) $550,000,000 in fiscal year 2021. 
‘‘(3) DEVELOPMENT OF SPECTRUM FEE REGU-
LATIONS.— 
‘‘(A) The Commission shall, by regulation, 
establish a methodology for assessing annual 
spectrum user fees and a schedule for collection 
of such fees on classes of spectrum licenses or 
construction permits or other instruments of 
authorization, consistent with the public inter-
est, convenience and necessity. The Commission 
may determine over time different classes of 
spectrum licenses or construction permits upon 
which such fees may be assessed. In estab-
lishing the fee methodology, the Commission 
may consider the following factors: 
‘‘(i) The highest value alternative 
spectrum use forgone. 
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‘‘(ii) Scope and type of permissible 
services and uses. 
‘‘(iii) Amount of spectrum and li-
censed coverage area. 
‘‘(iv) Shared versus exclusive use. 
‘‘(v) Level of demand for spectrum li-
censes or construction permits within a 
certain spectrum band or geographic area. 
‘‘(vi) The amount of revenue raised on 
comparable licenses awarded through an 
auction. 
‘‘(vii) Such factors that the Commis-
sion determines, in its discretion, are nec-
essary to promote efficient and effective 
spectrum use. 
‘‘(B) In addition, the Commission shall, by 
regulation, establish a methodology for assess-
ing annual user fees and a schedule for collec-
tion of such fees on entities holding Ancillary 
Terrestrial Component authority in conjunction 
with Mobile Satellite Service spectrum licenses, 
where the Ancillary Terrestrial Component au-
thority was not assigned through use of com-
petitive bidding. The Commission shall not col-
lect less from the holders of such authority than 
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a reasonable estimate of the value of such au-
thority over its term, regardless of whether ter-
restrial service is actually provided during this 
term. In determining a reasonable estimate of 
the value of such authority, the Commission 
may consider factors listed in subparagraph 
(A). 
‘‘(C) Within 60 days of enactment of the 
American Jobs Act of 2011, the Commission 
shall commence a rulemaking to develop the fee 
methodology and regulations. The Commission 
shall take all actions necessary so that it can 
collect fees from the first class or classes of 
spectrum license or construction permit holders 
no later than September 30, 2012. 
‘‘(D) The Commission, from time to time, 
may commence further rulemakings (separate 
from or in connection with other rulemakings or 
proceedings involving spectrum-based services, 
licenses, permits and uses) and modify the fee 
methodology or revise its rules required by sub-
paragraph (B) to add or modify classes of spec-
trum license or construction permit holders that 
must pay fees, and assign or adjust such fee as 
a result of the addition, deletion, reclassification 
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or other change in a spectrum-based service or 
use, including changes in the nature of a spec-
trum-based service or use as a consequence of 
Commission rulemaking proceedings or changes 
in law. Any resulting changes in the classes of 
spectrum licenses, construction permits or fees 
shall take effect upon the dates established in 
the Commission’s rulemaking proceeding in ac-
cordance with applicable law. 
‘‘(E) The Commission shall exempt from 
such fees holders of licenses for broadcast tele-
vision and public safety services. The term 
‘‘emergency response providers’’ includes State, 
local, and tribal, emergency public safety, law 
enforcement, firefighter, emergency response, 
emergency medical (including hospital emer-
gency facilities), and related personnel, agencies 
and authorities. 
‘‘(4) PENALTIES
FOR
LATE
PAYMENT.—The 
Commission shall prescribe by regulation an addi-
tional charge which shall be assessed as a penalty 
for late payment of fees required by this subsection. 
‘‘(5) REVOCATION OF LICENSE OR PERMIT.— 
The Commission may revoke any spectrum license or 
construction permit for a licensee’s or permitee’s 
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failure to pay in a timely manner any fee or penalty 
to the Commission under this subsection. Such rev-
ocation action may be taken by the Commission 
after notice of the Commission’s intent to take such 
action is sent to the licensee by registered mail, re-
turn receipt requested, at the licensee’s last known 
address. The notice will provide the licensee at least 
30 days to either pay the fee or show cause why the 
fee does not apply to the licensee or should otherwise 
be waived or payment deferred. A hearing is not re-
quired under this subsection unless the licensee’s re-
sponse presents a substantial and material question 
of fact. In any case where a hearing is conducted 
pursuant to this subsection, the hearing shall be 
based on written evidence only, and the burden of 
proceeding with the introduction of evidence and the 
burden of proof shall be on the licensee. Unless the 
licensee substantially prevails in the hearing, the 
Commission may assess the licensee for the costs of 
such hearing. Any Commission order adopted pursu-
ant to this subsection shall determine the amount 
due, if any, and provide the licensee with at least 30 
days to pay that amount or have its authorization 
revoked. No order of revocation under this sub-
section shall become final until the licensee has ex-
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hausted its right to judicial review of such order 
under section 402(b)(5). 
‘‘(6) TREATMENT OF REVENUES.—All proceeds 
obtained pursuant to the regulations required by this 
subsection shall be deposited in the General Fund of 
the Treasury.’’. 
PART II—PUBLIC SAFETY BROADBAND NETWORK 
SEC. 281. REALLOCATION OF D BLOCK FOR PUBLIC SAFE-
TY. 
(a) IN GENERAL.—The Commission shall reallocate 
the 700 MHz D block spectrum for use by public safety 
entities in accordance with the provisions of this subtitle. 
(b) SPECTRUM ALLOCATION.—Section 337(a) of the 
Communications Act of 1934 (47 U.S.C. 337(a)) is 
amended— 
(1) by striking ‘‘24’’ in paragraph (1) and in-
serting ‘‘34’’; and 
(2) by striking ‘‘36’’ in paragraph (2) and in-
serting ‘‘26’’. 
SEC. 282. FLEXIBLE USE OF NARROWBAND SPECTRUM. 
The Commission may allow the narrowband spectrum 
to be used in a flexible manner, including usage for public 
safety broadband communications, subject to such tech-
nical and interference protection measures as the Commis-
sion may require and subject to interoperability require-
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ments of the Commission and the Corporation established 
in section 204 of this subtitle. 
SEC. 283. SINGLE PUBLIC SAFETY WIRELESS NETWORK LI-
CENSEE. 
(a) REALLOCATION AND GRANT OF LICENSE.—Not-
withstanding any other provision of law, but subject to the 
provisions of this subtitle, including section 290, the Com-
mission shall grant a license to the Public Safety 
Broadband Corporation established under section 284 for 
the use of the 700 MHz D block spectrum and existing 
public safety broadband spectrum. 
(b) TERM OF LICENSE.— 
(1) INITIAL
LICENSE.—The license granted 
under subsection (a) shall be for an initial term of 
10 years from the date of the initial issuance of the 
license. 
(2) RENEWAL OF LICENSE.—Prior to expiration 
of the term of the initial license granted under sub-
section (a) or the expiration of any subsequent re-
newal of such license, the Corporation shall submit 
to the Commission an application for the renewal of 
such license. Such renewal application shall dem-
onstrate that, during the preceding license term, the 
Corporation has met the duties and obligations set 
forth under this subtitle. A renewal license granted 
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under this paragraph shall be for a term of not to 
exceed 15 years. 
(c) FACILITATION OF TRANSITION.—The Commis-
sion shall take all actions necessary to facilitate the transi-
tion of the existing public safety broadband spectrum to 
the Public Safety Broadband Corporation established 
under section 284. 
SEC. 284. ESTABLISHMENT OF PUBLIC SAFETY BROADBAND 
CORPORATION. 
(a) ESTABLISHMENT.—There is authorized to be es-
tablished a private, nonprofit corporation, to be known as 
the ‘‘Public Safety Broadband Corporation’’, which is nei-
ther an agency nor establishment of the United States 
Government or the District of Columbia Government. 
(b) APPLICATION OF PROVISIONS.—The Corporation 
shall be subject to the provisions of this subtitle, and, to 
the extent consistent with this subtitle, to the District of 
Columbia Nonprofit Corporation Act (section 29–301.01 
et seq., D.C. Official Code). 
(c) RESIDENCE.—The Corporation shall have its 
place of business in the District of Columbia and shall be 
considered, for purposes of venue in civil actions, to be 
a resident of the District of Columbia. 
(d) POWERS UNDER D.C. ACT.—In order to carry 
out the duties and activities of the Corporation, the Cor-
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poration shall have the usual powers conferred upon a 
nonprofit corporation by the District of Columbia Non-
profit Corporation Act. 
(e) INCORPORATION.—The members of the initial 
Board of Directors of the Corporation shall serve as 
incorporators and shall take whatever steps that are nec-
essary to establish the Corporation under the District of 
Columbia Nonprofit Corporation Act. 
SEC. 285. BOARD OF DIRECTORS OF THE CORPORATION. 
(a) MEMBERSHIP.—The management of the Corpora-
tion shall be vested in a Board of Directors (referred to 
in this subtitle as the ‘‘Board’’), which shall consist of the 
following members: 
(1) FEDERAL MEMBERS.—The following indi-
viduals, or their respective designees, shall serve as 
Federal members: 
(A) The Secretary of Commerce. 
(B) The Secretary of Homeland Security. 
(C) The Attorney General of the United 
States. 
(D) The Director of the Office of Manage-
ment and Budget. 
(2) NON-FEDERAL MEMBERS.— 
(A) IN GENERAL.—The Secretary of Com-
merce, in consultation with the Secretary of 
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Homeland Security and the Attorney General of 
the United States, shall appoint 11 individuals 
to serve as non-Federal members of the Board. 
(B) STATE, TERRITORIAL, TRIBAL
AND 
LOCAL
GOVERNMENT
INTERESTS.—In making 
appointments under subparagraph (A), the Sec-
retary of Commerce should— 
(i) appoint at least 3 individuals with 
significant expertise in the collective inter-
ests of State, territorial, tribal, and local 
governments; 
(ii) seek to ensure geographic and re-
gional representation of the United States 
in such appointments; and 
(iii) seek to ensure rural and urban 
representation in such appointments. 
(C) PUBLIC SAFETY INTERESTS.—In mak-
ing appointments under subparagraph (A), the 
Secretary of Commerce should appoint at least 
3 individuals who have served or are currently 
serving as public safety professionals. 
(D) REQUIRED QUALIFICATIONS.— 
(i) IN GENERAL.—Each non-Federal 
member appointed under subparagraph (A) 
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should meet at least one of the following 
criteria: 
(I) 
PUBLIC
SAFETY
EXPERI-
ENCE.—Knowledge and experience in 
the use of Federal, State, local, or 
tribal public safety or emergency re-
sponse. 
(II) TECHNICAL
EXPERTISE.— 
Technical expertise and fluency re-
garding broadband communications, 
including public safety communica-
tions and cybersecurity. 
(III) NETWORK
EXPERTISE.— 
Expertise in building, deploying, and 
operating commercial telecommuni-
cations networks. 
(IV) FINANCIAL
EXPERTISE.— 
Expertise in financing and funding 
telecommunications networks. 
(ii) 
EXPERTISE
TO
BE
REP-
RESENTED.—In 
making 
appointments 
under subparagraph (A), the Secretary of 
Commerce should appoint— 
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(I) at least one individual who 
satisfies the requirement under sub-
clause (II) of clause (i); 
(II) at least one individual who 
satisfies the requirement under sub-
clause (III) of clause (i); and 
(III) at least one individual who 
satisfies the requirement under sub-
clause (IV) of clause (i). 
(E) INDEPENDENCE.— 
(i) IN GENERAL.—Each non-Federal 
member of the Board shall be independent 
and neutral and maintain a fiduciary rela-
tionship with the Corporation in per-
forming his or her duties. 
(ii) 
INDEPENDENCE
DETERMINA-
TION.—In order to be considered inde-
pendent for purposes of this subparagraph, 
a member of the Board— 
(I) may not, other than in his or 
her capacity as a member of the 
Board or any committee thereof— 
(aa) accept any consulting, 
advisory, or other compensatory 
fee from the Corporation; or 
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(bb) be a person associated 
with the Corporation or with any 
affiliated company thereof; and 
(II) shall be disqualified from 
any deliberation involving any trans-
action of the Corporation in which the 
Board member has a financial interest 
in the outcome of the transaction. 
(F) NOT OFFICERS OR EMPLOYEES.—The 
non-Federal members of the Board shall not, by 
reason of such membership, be considered to be 
officers or employees of the United States Gov-
ernment or of the District of Columbia Govern-
ment. 
(G) CITIZENSHIP.—No individual other 
than a citizen of the United States may serve 
as a non-Federal member of the Board. 
(H) CLEARANCE FOR CLASSIFIED INFOR-
MATION.—In order to have the threat and vul-
nerability information necessary to make risk 
management decisions regarding the network, 
the non-Federal members of the Board shall be 
required, prior to appointment, to obtain a 
clearance held by the Director of National In-
telligence that permits them to receive informa-
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205 
tion classified at the level of Top Secret, Special 
Compartmented Information. 
(b) TERMS OF APPOINTMENT.— 
(1) INITIAL APPOINTMENT DEADLINE.—Mem-
bers of the Board shall be appointed not later than 
180 days after the date of the enactment of this 
subtitle. 
(2) TERMS.— 
(A) LENGTH.— 
(i) FEDERAL MEMBERS.—Each Fed-
eral member of the Board shall serve as a 
member of the Board for the life of the 
Corporation while serving in their ap-
pointed capacity. 
(ii) NON-FEDERAL
MEMBERS.—The 
term of office of each non-Federal member 
of the Board shall be 3 years. No non-Fed-
eral member of the Board may serve more 
than 2 consecutive full 3-year terms. 
(B) EXPIRATION OF TERM.—Any member 
whose term has expired may serve until such 
member’s successor has taken office, or until 
the end of the calendar year in which such 
member’s term has expired, whichever is earlier. 
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206 
(C) APPOINTMENT
TO
FILL
VACANCY.— 
Any non-Federal member appointed to fill a va-
cancy occurring prior to the expiration of the 
term for which that member’s predecessor was 
appointed shall be appointed for the remainder 
of the predecessor’s term. 
(D) STAGGERED TERMS.—With respect to 
the initial non-Federal members of the Board— 
(i) 4 members shall serve for a term 
of 3 years; 
(ii) 4 members shall serve for a term 
of 2 years; and 
(iii) 3 members shall serve for a term 
of 1 year. 
(3) VACANCIES.—A vacancy in the membership 
of the Board shall not affect the Board’s powers and 
shall be filled in the same manner as the original 
member was appointed. 
(c) CHAIR.— 
(1) SELECTION.—The Secretary of Commerce, 
in consultation with the Secretary of Homeland Se-
curity and the Attorney General of the United 
States, shall select, from among the members of the 
Board, an individual to serve for a 2-year term as 
Chair of the Board. 
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207 
(2) CONSECUTIVE TERMS.—An individual may 
not serve for more than 2 consecutive terms as 
Chair of the Board. 
(3) REMOVAL FOR CAUSE.—The Secretary of 
Commerce, in consultation with the Secretary of 
Homeland Security and the Attorney General of the 
United States, may remove the Chair of the Board 
and any non-Federal member for good cause. 
(d) REMOVAL.—All members of the Board may by 
majority vote— 
(1) remove any non-Federal member of the 
Board from office for conduct determined by the 
Board to be detrimental to the Board or Corpora-
tion; and 
(2) request that the Secretary of Commerce ex-
ercise his or her authority to remove the Chair of 
the Board for conduct determined by the Board to 
be detrimental to the Board or Corporation. 
(e) MEETINGS.— 
(1) FREQUENCY.—The Board shall meet in ac-
cordance with the bylaws of the Corporation— 
(A) at the call of the Chair; and 
(B) not less frequently than once each 
quarter. 
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208 
(2) TRANSPARENCY.—Meetings of the Board, 
including any committee of the Board, shall be open 
to the public. The Board may, by majority vote, 
close any such meeting only for the time necessary 
to preserve the confidentiality of commercial or fi-
nancial information that is privileged or confidential, 
to discuss personnel matters, to discuss security 
vulnerabilities when making those vulnerabilities 
public would increase risk to the network or other-
wise materially threaten network operations, or to 
discuss legal matters affecting the Corporation, in-
cluding pending or potential litigation. 
(f) QUORUM.—Eight members of the Board shall 
constitute a quorum. 
(g) BYLAWS.—A majority of the members of the 
Board of Directors may amend the bylaws of the Corpora-
tion. 
(h) ATTENDANCE.—Members of the Board of Direc-
tors may attend meetings of the Corporation and vote in 
person, via telephone conference, or via video conference. 
(i) PROHIBITION ON COMPENSATION.—Members of 
the Board of the Corporation shall serve without pay and 
shall not otherwise benefit, directly or indirectly, as a re-
sult of their service to the Corporation, but shall be al-
lowed a per diem allowance for travel expenses, at rates 
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209 
authorized for an employee of an agency under subchapter 
I of chapter 57 of title 5, United States Code, while away 
from the home or regular place of business of the member 
in the performance of the duties of the Corporation. 
SEC. 286. OFFICERS, EMPLOYEES, AND COMMITTEES OF 
THE CORPORATION. 
(a) OFFICERS AND EMPLOYEES.— 
(1) IN GENERAL.—The Corporation shall have 
a Chief Executive Officer and such other officers 
and employees as may be named and appointed by 
the Board for terms and at rates of compensation 
fixed by the Board pursuant to this subsection. The 
Chief Executive Officer may name and appoint such 
employees as are necessary. All officers and employ-
ees shall serve at the pleasure of the Board. 
(2) LIMITATION.—No individual other than a 
citizen of the United States may be an officer of the 
Corporation. 
(3) 
NONPOLITICAL
NATURE
OF
APPOINT-
MENT.—No political test or qualification shall be 
used in selecting, appointing, promoting, or taking 
other personnel actions with respect to officers, 
agents, or employees of the Corporation. 
(4) COMPENSATION.— 
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210 
(A) IN GENERAL.—The Board may hire 
and fix the compensation of employees hired 
under this subsection as may be necessary to 
carry out the purposes of the Corporation. 
(B) APPROVAL
OF
COMPENSATION
BY 
FEDERAL
MEMBERS.—Notwithstanding 
any 
other provision of law, or any bylaw adopted by 
the Corporation, all rates of compensation, in-
cluding benefit plans and salary ranges, for of-
ficers and employees of the Corporation, shall 
be jointly approved by the Federal members of 
the Board. 
(C) LIMITATION
ON
OTHER
COMPENSA-
TION.—No officer or employee of the Corpora-
tion may receive any salary or other compensa-
tion (except for compensation for services on 
boards of directors of other organizations that 
do not receive funds from the Corporation, on 
committees of such boards, and in similar ac-
tivities for such organizations) from any sources 
other than the Corporation for services ren-
dered during the period of the employment of 
the officer or employee by the Corporation, un-
less unanimously approved by all voting mem-
bers of the Board. 
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211 
(5) SERVICE ON OTHER BOARDS.—Service by 
any officer on boards of directors of other organiza-
tions, on committees of such boards, and in similar 
activities for such organizations shall be subject to 
annual advance approval by the Board and subject 
to the provisions of the Corporation’s Statement of 
Ethical Conduct. 
(6) RULE OF CONSTRUCTION.—No officer or 
employee of the Corporation shall be considered to 
be an officer or employee of the United States Gov-
ernment or of the government of the District of Co-
lumbia. 
(7) CLEARANCE
FOR
CLASSIFIED
INFORMA-
TION.—In order to have the threat and vulnerability 
information necessary to make risk management de-
cisions regarding the network, at a minimum the 
Chief Executive Officer and any officers filling the 
roles normally titled as Chief Information Officer, 
Chief Information Security Officer, and Chief Oper-
ations Officer shall be required, within 6 months of 
being hired, to obtain a clearance held by the Direc-
tor of National Intelligence that permits them to re-
ceive information classified at the level of Top Se-
cret, Special Compartmented Information. 
(b) ADVISORY COMMITTEES.—The Board— 
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212 
(1) shall establish a standing public safety advi-
sory committee to assist the Board in carrying out 
its duties and responsibilities under this title; and 
(2) may establish additional standing or ad hoc 
committees, panels, or councils as the Board deter-
mines are necessary. 
SEC. 287. NONPROFIT AND NONPOLITICAL NATURE OF THE 
CORPORATION. 
(a) STOCK.—The Corporation shall have no power to 
issue any shares of stock or to declare or pay any divi-
dends. 
(b) PROFIT.—No part of the income or assets of the 
Corporation shall inure to the benefit of any director, offi-
cer, employee, or any other individual associated with the 
Corporation, except as salary or reasonable compensation 
for services. 
(c) POLITICS.—The Corporation may not contribute 
to or otherwise support any political party or candidate 
for elective public office. 
(d) PROHIBITION ON LOBBYING ACTIVITIES.—The 
Corporation shall not engage in lobbying activities (as de-
fined in section 3(7) of the Lobbying Disclosure Act of 
1995 (5 U.S.C. 1602(7))). 
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213 
SEC. 288. POWERS, DUTIES, AND RESPONSIBILITIES OF THE 
CORPORATION. 
(a) GENERAL POWERS.—The Corporation shall have 
the authority to do the following: 
(1) To adopt and use a corporate seal. 
(2) To have succession until dissolved by an Act 
of Congress. 
(3) To prescribe, through the actions of its 
Board, bylaws not inconsistent with Federal law and 
the laws of the District of Columbia, regulating the 
manner in which the Corporation’s general business 
may be conducted and the manner in which the 
privileges granted to the Corporation by law may be 
exercised. 
(4) To exercise, through the actions of its 
Board, all powers specifically granted by the provi-
sions of this subtitle and such incidental powers as 
shall be necessary. 
(5) To hold such hearings, sit and act at such 
times and places, take such testimony, and receive 
such evidence as the Corporation considers necessary 
to carry out its responsibilities and duties. 
(6) To obtain grants and funds from and make 
contracts with individuals, private companies, orga-
nizations, institutions, and Federal, State, regional, 
and local agencies, pursuant to guidelines estab-
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214 
lished by the Director of the Office of Management 
and Budget. 
(7) To accept, hold, administer, and utilize 
gifts, donations, and bequests of property, both real 
and personal, for the purposes of aiding or facili-
tating the work of the Corporation. 
(8) To issue notes or bonds, which shall not be 
guaranteed or backed in any manner by the Govern-
ment of the United States, to purchasers of such in-
struments in the private capital markets. 
(9) To incur indebtedness, which shall be the 
sole liability of the Corporation and shall not be 
guaranteed or backed by the Government of the 
United States, to carry out the purposes of this sub-
title. 
(10) To spend funds under paragraph (6) in a 
manner authorized by the Board, but only for pur-
poses that will advance or enhance public safety 
communications consistent with this subtitle. 
(11) To establish reserve accounts with funds 
that the Corporation may receive from time to time 
that exceed the amounts required by the Corporation 
to timely pay its debt service and other obligations. 
(12) To expend the funds placed in any reserve 
accounts established under paragraph (11) (includ-
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215 
ing interest earned on any such amounts) in a man-
ner authorized by the Board, but only for purposes 
that— 
(A) will advance or enhance public safety 
communications consistent with this subtitle; or 
(B) are otherwise approved by an Act of 
Congress. 
(13) To build, operate, and maintain the public 
safety interoperable broadband network. 
(14) To take such other actions as the Corpora-
tion (through its Board) may from time to time de-
termine necessary, appropriate, or advisable to ac-
complish the purposes of this subtitle. 
(b) DUTY AND RESPONSIBILITY TO DEPLOY AND 
OPERATE A NATIONWIDE PUBLIC SAFETY INTEROPER-
ABLE BROADBAND NETWORK.— 
(1) IN GENERAL.—The Corporation shall hold 
the single public safety wireless license granted 
under section 283 and take all actions necessary to 
ensure the building, deployment, and operation of a 
secure and resilient nationwide public safety inter-
operable broadband network in consultation with 
Federal, State, tribal, and local public safety enti-
ties, the Director of NIST, the Commission, and the 
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216 
public safety advisory committee established in sec-
tion 286(b)(1), including by— 
(A) ensuring nationwide standards includ-
ing encryption requirements for use and access 
of the network; 
(B) issuing open, transparent, and com-
petitive requests for proposals to private sector 
entities for the purposes of building, operating, 
and maintaining the network; 
(C) managing and overseeing the imple-
mentation and execution of contracts or agree-
ments with non-Federal entities to build, oper-
ate, and maintain the network; and 
(D) establishing policies regarding Federal 
and public safety support use. 
(2) INTEROPERABILITY, SECURITY, AND STAND-
ARDS.—In carrying out the duties and responsibil-
ities of this subsection, including issuing requests for 
proposals, the Corporation shall— 
(A) ensure the safety, security, and resil-
iency of the network, including requirements for 
protecting and monitoring the network to pro-
tect against cyber intrusions or cyberattack; 
(B) be informed of and manage supply 
chain risks to the network, including require-
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217 
ments to provide insight into the suppliers and 
supply chains for critical network components 
and to implement risk management best prac-
tice in network design, contracting, operations, 
and maintenance; 
(C) promote competition in the equipment 
market, including devices for public safety com-
munications, by requiring that equipment and 
devices for use on the network be— 
(i) built to open, non-proprietary, 
commercially available standards; 
(ii) capable of being used across the 
nationwide public safety broadband net-
work operating in the 700 MHz band; 
(iii) able to be interchangeable with 
other vendors’ equipment; and 
(iv) backward-compatible with existing 
second and third generation commercial 
networks to the extent that such capabili-
ties are necessary and technically and eco-
nomically reasonable; and 
(D) promote integration of the network 
with public safety answering points or their 
equivalent. 
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218 
(3) RURAL COVERAGE.—In carrying out the du-
ties and responsibilities of this subsection, including 
issuing requests for proposals, the Corporation, con-
sistent with the license granted under section 283, 
shall require deployment phases with substantial 
rural coverage milestones as part of each phase of 
the construction and deployment of the network. 
(4) EXECUTION OF AUTHORITY.—In carrying 
out the duties and responsibilities of this subsection, 
the Corporation may— 
(A) obtain grants from and make contracts 
with individuals, private companies, and Fed-
eral, State, regional, and local agencies; 
(B) hire or accept voluntary services of 
consultants, experts, advisory boards, and pan-
els to aid the Corporation in carrying out such 
duties and responsibilities; 
(C) receive payment for use of— 
(i) network capacity licensed to the 
Corporation; and 
(ii) 
network 
infrastructure 
con-
structed, owned, or operated by the Cor-
poration; and 
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219 
(D) take such other actions as may be nec-
essary to accomplish the purposes set forth in 
this subsection. 
(c) OTHER SPECIFIC DUTIES
AND RESPONSIBIL-
ITIES.— 
(1) ESTABLISHMENT OF NETWORK POLICIES.— 
In carrying out the requirements under subsection 
(b), the Corporation shall take such actions as may 
be necessary, including the development of requests 
for proposals. Request for proposals should in-
clude— 
(A)(i) build timetables, including by taking 
into consideration the time needed to build out 
to rural areas; 
(ii) coverage areas, including coverage in 
rural and nonurban areas; 
(iii) service levels; 
(iv) performance criteria; and 
(v) other similar matters for the construc-
tion and deployment of such network; 
(B) the technical, operational, and security 
requirements of the network and, as appro-
priate, network suppliers; 
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220 
(C) practices, procedures, and standards 
for the management and operation of such net-
work; 
(D) terms of service for the use of such 
network, including billing practices; and 
(E) ongoing compliance review and moni-
toring of the— 
(i) management and operation of such 
network; 
(ii) practices and procedures of the 
entities operating on and the personnel 
using such network; and 
(iii) training needs of entities oper-
ating on and personnel using such net-
work. 
(2) STATE AND LOCAL PLANNING.— 
(A) REQUIRED CONSULTATION.—In devel-
oping requests for proposal and otherwise car-
rying out its responsibilities under this subtitle, 
the Corporation shall consult with regional, 
State, tribal, and local jurisdictions regarding 
the 
distribution 
and 
expenditure 
of 
any 
amounts required to carry out the policies es-
tablished under paragraph (1), including with 
regard to the— 
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221 
(i) construction of an Evolved Packet 
Core or Cores and any Radio Access Net-
work build out; 
(ii) placement of towers; 
(iii) coverage areas of the network, 
whether at the regional, State, tribal, or 
local level; 
(iv) adequacy of hardening, security, 
reliability, and resiliency requirements; 
(v) assignment of priority to local 
users; 
(vi) assignment of priority and selec-
tion of entities seeking access to or use of 
the nationwide public safety interoperable 
broadband network established under sub-
section (b); and 
(vii) training needs of local users. 
(B) METHOD
OF
CONSULTATION.—The 
consultation required under subparagraph (A) 
shall occur between the Corporation and the 
single officer or governmental body designated 
under section 294(d). 
(3) 
LEVERAGING
EXISTING
INFRASTRUC-
TURE.—In carrying out the requirement under sub-
section (b), the Corporation shall enter into agree-
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222 
ments to utilize, to the maximum economically desir-
able, existing— 
(A) commercial or other communications 
infrastructure; and 
(B) Federal, State, tribal, or local infra-
structure. 
(4) MAINTENANCE AND UPGRADES.—The Cor-
poration shall ensure through the maintenance, op-
eration, and improvement of the nationwide public 
safety interoperable broadband network established 
under subsection (b), including by ensuring that the 
Corporation updates and revises any policies estab-
lished under paragraph (1), to take into account new 
and evolving technologies and security concerns. 
(5) ROAMING AGREEMENTS.—The Corporation 
shall negotiate and enter into, as it determines ap-
propriate, roaming agreements with commercial net-
work providers to allow the nationwide public safety 
interoperable broadband users to roam onto com-
mercial networks and gain prioritization of public 
safety communications over such networks in times 
of an emergency. 
(6) NETWORK INFRASTRUCTURE AND DEVICE 
CRITERIA.—The Director of NIST, in consultation 
with the Corporation and the Commission, shall en-
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223 
sure the development of a list of certified devices 
and components meeting appropriate protocols, 
encryption requirements, and standards for public 
safety entities and commercial vendors to adhere to, 
if such entities or vendors seek to have access to, use 
of, or compatibility with the nationwide public safety 
interoperable broadband network established under 
subsection (b). 
(7) REPRESENTATION BEFORE STANDARD SET-
TING ENTITIES.—The Corporation, in consultation 
with the Director of NIST, the Commission, and the 
public safety advisory committee established under 
section 286(b)(1), shall represent the interests of 
public safety users of the nationwide public safety 
interoperable broadband network established under 
subsection (b) before any proceeding, negotiation, or 
other matter in which a standards organization, 
standards body, standards development organization, 
or any other recognized standards-setting entity acts 
regarding the development of standards relating to 
interoperability. 
(8) PROHIBITION ON NEGOTIATION WITH FOR-
EIGN GOVERNMENTS.—Except as authorized by the 
President, the Corporation shall not have the au-
thority to negotiate or enter into any agreements 
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224 
with a foreign government on behalf of the United 
States. 
(d) USE OF MAILS.—The Corporation may use the 
United States mails in the same manner and under the 
same conditions as the departments and agencies of the 
United States. 
SEC. 289. INITIAL FUNDING FOR CORPORATION. 
(a) NTIA PROVISION OF INITIAL FUNDING TO THE 
CORPORATION.— 
(1) IN GENERAL.—Prior to the commencement 
of incentive auctions to be carried out under section 
309(j)(8)(F) of the Communications Act of 1934 or 
the auction of spectrum pursuant to section 277 of 
this subtitle, the NTIA is hereby appropriated 
$50,000,000 for reasonable administrative expenses 
and other costs associated with the establishment of 
the Corporation, and that may be transferred as 
needed to the Corporation for expenses before the 
commencement of an incentive auction: Provided, 
That funding shall expire on September 30, 2014. 
(2) CONDITION OF FUNDING.—At the time of 
application for, and as a condition to, any such 
funding, the Corporation shall file with the NTIA a 
statement with respect to the anticipated use of the 
proceeds of this funding. 
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225 
(3) NTIA APPROVAL.—If the NTIA determines 
that such funding is necessary for the Corporation 
to carry out its duties and responsibilities under this 
subtitle and that the Corporation has submitted a 
plan, then the NTIA shall notify the appropriate 
committees of Congress 30 days before each transfer 
of funds takes place. 
SEC. 290. PERMANENT SELF-FUNDING; DUTY TO ASSESS 
AND COLLECT FEES FOR NETWORK USE. 
(a) IN GENERAL.—The Corporation shall have the 
authority to assess and collect the following fees: 
(1) NETWORK USER FEE.—A user or subscrip-
tion fee from each entity, including any public safety 
entity or secondary user, that seeks access to or use 
of the nationwide public safety interoperable 
broadband network established under this subtitle. 
(2) LEASE FEES RELATED TO NETWORK CA-
PACITY.— 
(A) IN GENERAL.—A fee from any non- 
Federal entity that seeks to enter into a covered 
leasing agreement. 
(B) COVERED LEASING AGREEMENT.—For 
purposes of subparagraph (A), a ‘‘covered leas-
ing agreement’’ means a written agreement be-
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226 
tween the Corporation and secondary user to 
permit— 
(i) access to network capacity on a 
secondary basis for non-public safety serv-
ices; and 
(ii) the spectrum allocated to such en-
tity to be used for commercial trans-
missions along the dark fiber of the long- 
haul network of such entity. 
(3) LEASE FEES RELATED TO NETWORK EQUIP-
MENT AND INFRASTRUCTURE.—A fee from any non- 
Federal entity that seeks access to or use of any 
equipment or infrastructure, including antennas or 
towers, constructed or otherwise owned by the Cor-
poration. 
(b) ESTABLISHMENT
OF FEE AMOUNTS; PERMA-
NENT SELF-FUNDING.—The total amount of the fees as-
sessed for each fiscal year pursuant to this section shall 
be sufficient, and shall not exceed the amount necessary, 
to recoup the total expenses of the Corporation in carrying 
out its duties and responsibilities described under this title 
for the fiscal year involved. 
(c) REQUIRED REINVESTMENT
OF FUNDS.—The 
Corporation shall reinvest amounts received from the as-
sessment of fees under this section in the nationwide pub-
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237 
309(j)(8)(F) of the Communications Act of 
1934. 
(B) NOTIFICATION TO CONGRESS.— 
(i) IN GENERAL.—At least 3 months 
in advance of any incentive auction con-
ducted pursuant to section 309(j)(8)(F) of 
the Communications Act of 1934, the 
Chairman of the Commission, in consulta-
tion with the Director of the Office of 
Management and Budget, shall notify the 
appropriate committees of Congress— 
(I) of the methodology for calcu-
lating the disbursal of payments to 
certain licensees required pursuant to 
clause (i) and subclauses (III) and 
(IV) of clause (ii) of such section; 
(II) that such methodology con-
siders the value of the spectrum vol-
untarily relinquished in its current use 
and the timeliness with which the li-
censee cleared its use of such spec-
trum; and 
(III) of the estimated payments 
to be made from the Incentive Auction 
Relocation Fund established under 
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312 
lation to family size, does not exceed the higher 
of— 
(i) the poverty line; or 
(ii) 70 percent of the lower living 
standard income level. 
(C) EXCESS NUMBER.—The term ‘‘excess 
number’’ means, used with respect to the excess 
number of unemployed individuals within a 
State, the higher of— 
(i) the number that represents the 
number of unemployed individuals in ex-
cess of 4.5 percent of the civilian labor 
force in the State; or 
(ii) the number that represents the 
number of unemployed individuals in ex-
cess of 4.5 percent of the civilian labor 
force in areas of substantial unemployment 
in such State. 
(4) REALLOTMENT.—If the Governor of a State 
does not submit a State plan by the time specified 
in subsection (c), or a State does not receive ap-
proval of a State plan, the amount the State would 
have been eligible to receive pursuant to the formula 
under paragraph (2) shall be transferred within the 
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352 
(A) title VII of the Civil Rights Act of 
1964 (42 U.S.C. 2000e et seq.); or 
(B) sections 302 and 304 of the Govern-
ment Employee Rights Act of 1991 (42 U.S.C. 
2000e–16b and 2000e–16c); in the case of an 
affected individual who would be covered by 
such title, or of section 302(a)(1) of the Gov-
ernment Employee Rights Act of 1991 (42 
U.S.C. 2000e–16b(a)(1)), respectively; 
(5) the President, the Commission, and the 
Merit Systems Protection Board shall have the same 
powers as the President, the Commission, and the 
Board, respectively, have to administer and enforce 
chapter 5 of title 3, United States Code, in the case 
of an affected individual who would be covered by 
section 411 of such title; and 
(6) a court of the United States shall have the 
same jurisdiction and powers as the court has to en-
force— 
(A) title VII of the Civil Rights Act of 
1964 (42 U.S.C. 2000e et seq.) in the case of 
a claim alleged by such individual for a viola-
tion of such title; 
(B) sections 302 and 304 of the Govern-
ment Employee Rights Act of 1991 (42 U.S.C. 
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353 
2000e–16b and 2000e–16c) in the case of a 
claim alleged by such individual for a violation 
of section 302(a)(1) of such Act (42 U.S.C. 
2000e–16b(a)(1)); 
(C) the Congressional Accountability Act 
of 1995 (2 U.S.C. 1301 et seq.) in the case of 
a claim alleged by such individual for a viola-
tion of section 201(a)(1) of such Act (2 U.S.C. 
1311(a)(1)); and 
(D) chapter 5 of title 3, United States 
Code, in the case of a claim alleged by such in-
dividual for a violation of section 411 of such 
title. 
(b) PROCEDURES.—The procedures applicable to a 
claim alleged by an individual for a violation of this Act 
are— 
(1) the procedures applicable for a violation of 
title VII of the Civil Rights Act of 1964 (42 U.S.C. 
2000e et seq.) in the case of a claim alleged by such 
individual for a violation of such title; 
(2) the procedures applicable for a violation of 
section 302(a)(1) of the Government Employee 
Rights Act of 1991 (42 U.S.C. 2000e–16b(a)(1)) in 
the case of a claim alleged by such individual for a 
violation of such section; 
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386 
‘‘(A) a person performs (directly or indi-
rectly) investment management services for any 
investment entity, 
‘‘(B) such person holds (directly or indi-
rectly) a disqualified interest with respect to 
such entity, and 
‘‘(C) the value of such interest (or pay-
ments thereunder) is substantially related to 
the amount of income or gain (whether or not 
realized) from the assets with respect to which 
the investment management services are per-
formed, any income or gain with respect to such 
interest shall be treated as ordinary income. 
Rules similar to the rules of subsections (a)(5) 
and (d) shall apply for purposes of this sub-
section. 
‘‘(2) DEFINITIONS.—For purposes of this sub-
section— 
‘‘(A) DISQUALIFIED INTEREST.— 
‘‘(i) IN
GENERAL.—The term ‘dis-
qualified interest’ means, with respect to 
any investment entity— 
‘‘(I) any interest in such entity 
other than indebtedness, 
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