Sec. 3. Public auction of C-band spectrum
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Not later than 1 year after issuing rules for reallocating a portion of the electromagnetic spectrum described in subsection
(b)through a public auction, if the Commission issues such rules during the year 2020, the Commission shall— identify 300 megahertz of that spectrum for reallocation consistent with this section; clear the spectrum identified under paragraph
(1)consistent with subsection (d); reallocate the spectrum identified under paragraph
(1)for terrestrial broadband use, reserving 20 megahertz of the spectrum as a guard band; and notwithstanding paragraph (15)(A) of section 309(j) of the Communications Act of 1934 ( 47 U.S.C. 309(j) ), commence a system of competitive bidding under that section to grant new initial licenses for the use of the spectrum identified under paragraph
(1)of this subsection, subject to— flexible-use service rules; and the requirement to protect incumbent uses of the spectrum not otherwise cleared under paragraph
(2)of this subsection from harmful interference. The electromagnetic spectrum described in this subsection is the spectrum between 3700 megahertz and 4200 megahertz, inclusive. Section 309(j)(8) of the Communications Act of 1934 ( 47 U.S.C. 309(j)(8) ) is amended— in subparagraph (A), by striking and
(G)and inserting (G), and
(H); in subparagraph (C)(i), by striking and
(G)and inserting (G), and
(H); and by adding at the end the following: Notwithstanding subparagraph
(A)and except as provided in subparagraph (B), of the proceeds (including deposits and upfront payments from successful bidders) from the use of a system of competitive bidding under this subsection pursuant to section 3 of the Spectrum Management And Reallocation for Taxpayers Act — the Commission shall use such amounts as are necessary to reimburse the general fund of the Treasury for any amounts borrowed under section 5(b) of that Act; after compliance with clause
(i)of this subparagraph, the Commission shall deposit the next $5,000,000,000 in the general fund of the Treasury for the sole purpose of deficit reduction; and after compliance with clauses
(i)and
(ii)of this subparagraph, the Commission shall deposit all amounts remaining in accordance with section 4(b) of that Act. . The Commission shall issue any new licenses or license modifications required to clear electromagnetic spectrum under subsection (a)(2) as expeditiously as possible after the date of enactment of this Act. The right of a licensee to protest a proposed order of modification of its license under section 316 of the Communications Act of 1934 ( 47 U.S.C. 316 ) shall not apply in the case of a modification made under subparagraph
(A)of this paragraph. The Commission shall clear electromagnetic spectrum under subsection (a)(2) in a manner that ensures that persons or entities that used the spectrum before the clearing of the spectrum receive— service that is equivalent to or better than the service received before the clearing of the spectrum; and service at a level described in subparagraph
(A)continuously throughout the clearing of the spectrum. In promulgating rules regarding the use of spectrum in the covered band, the Commission shall ensure that aviation safety and other safety-of-life uses operating in the covered band or in adjacent spectrum bands are protected from harmful interference.
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