EXECUTIVE SUMMARY

President’s Direction

In today’s era of modern communications, radio frequency spectrum is critical. Just as steel, lumber, oil, and natural gas were key natural resources that supplied our economy in the 20^th century, spectrum is increasingly important in the 21^st century. Current spectrum management policies (administered by the National Telecommunication and Information Administration (NTIA) for federal government users and by the Federal Communications Commission (FCC) for all other users) are under increasing strain as the demand for existing spectrum-based services grows and new spectrum-related technologies and applications emerge. Recognizing this fact, the President established the “Spectrum Policy Initiative” (the “Initiative”) to promote the development and implementation of a U.S. spectrum policy for the 21^st century.

The recommendations proposed in this report build upon the recent experiences of the federal spectrum management community in its efforts to implement policies for three new technologies -- third generation (3G) wireless, Wireless Fidelity (WiFi) and Ultrawideband (UWB). Although these new technologies offer great potential economic and commercial benefits, before they could be introduced, critical federal government systems had to be protected. While ultimately successful, the effort to introduce these new technologies exposed limitations of our spectrum management system.

In March 2004, the President announced that all Americans should have universal, affordable access to broadband technology by 2007. Some of the most promising new broadband technology is wireless. Expanding the amount of spectrum available for commercial uses will support high speed Internet access and therefore is integral to helping meet this goal.

To ensure that our spectrum management policies are capable of harnessing the potential of rapidly changing technologies, the President directed the Secretary of Commerce to conduct a comprehensive review to develop recommendations for improving spectrum management. The goal of the Initiative is to promote the development and implementation of a U.S. spectrum policy for the 21^st century that will: foster economic growth; ensure our national and homeland security; maintain U.S. global leadership in communications technology; and satisfy other vital U.S. needs in areas such as public safety, scientific research, federal transportation infrastructure, and law enforcement.

Specifically, the President charged the Secretary of Commerce to prepare recommendations to:

(a) facilitate a modernized and improved spectrum management system;

(b) facilitate policy changes to create incentives for more efficient and beneficial use of spectrum and to provide a higher degree of predictability and certainty in the spectrum management process as it applies to incumbent users;

(c) develop policy tools to streamline the deployment of new and expanded services and technologies, while preserving national security, homeland security, and public safety, and encouraging scientific research; and

(d) develop means to address the critical spectrum needs of national security, homeland security, public safety, federal transportation infrastructure, and science.

The President directed the Secretary of Commerce to initiate two courses of action:

(a) to establish a federal government Spectrum Task Force (the “Task Force”) consisting of the heads of impacted executive branch agencies, departments, and offices to address improvements in polices affecting spectrum use by federal agencies, and,

(b) to schedule a series of public meetings to address improvements in policies affecting spectrum use by state and local governments and the private sector, as well as improvements in polices for the spectrum management process as a whole.

The President further directed the Secretary of Commerce to prepare two separate reports containing the respective recommendations developed in the two courses of action. This report presents the recommendations of the Task Force. A companion report, which contains recommendations to address state, local, and private spectrum use, has also been prepared.

The following recommendations, drawn from input from the Task Force, propose changes to existing spectrum management policy to better meet future spectrum needs.[1]

Facilitate a Modernized and Improved Spectrum Management System

Recommendations

1. Consistent Methods for Assessing New Technologies

The FCC, NTIA, and other federal agencies should work cooperatively to standardize the methods required for evaluating spectrum efficiency and effectiveness with the understanding that appropriate metrics will vary by class of use and purpose.

2. Best Practices Handbook

NTIA should work cooperatively with other federal agencies and with input from the FCC to develop a best-practices handbook of analytical engineering spectrum tools and procedures. When complete, this handbook will include: a compilation of accepted technical standards, interference protection criteria, unwanted emission limits on both radio service and allocated band basis, and environmental characteristics (e.g., noise levels). These technical standards will improve the ability of spectrum managers to evaluate the impact of new entrants into the spectrum and to protect incumbents. This handbook will also include a Terms of Reference Section to aid readers in understanding of terms such as “effectiveness” and “efficiency” in various contexts for different types of technology and different communication missions.

3. Application of Information Technology

NTIA should use its advanced information technology capabilities to modernize the existing paper-based processes and procedures associated with coordination of operations, assignment of frequencies and certification of new systems. These improvements should allow rapid development and implementation of more technically sound spectrum policy.

4. Adoption of a Career Development Program

The FCC and NTIA should jointly develop training programs for new spectrum management personnel in needed technical disciplines, and encourage private organizations and the federal agencies to ensure the continued competence of their frequency management organizations. NTIA and the FCC should explore training programs currently in use or in development by government agencies in other related fields of expertise, such as communications and information technologies. NTIA also should assist agency spectrum management organizations to improve their ability to perform their functions.

Create Incentives for More Efficient and Beneficial Use of Spectrum and Policies Increasing Predictability and Certainty for Incumbent Spectrum Users

Recommendations

5. Capital Planning Process

To integrate spectrum resources more clearly into the capital planning process, the Office of Management and Budget (OMB) and NTIA should explore modifying and applying existing capital planning and investment control procedures to better identify associated spectrum requirements and costs of major investments. As part of the capital planning process, OMB and NTIA, together with the federal agencies, should explore modifying agencies’ existing procedural and analytic guidelines for major spectrum dependent projects so that agencies give more consideration to spectrum use in their capital planning and management processes to determine the most cost-effective approach to obtaining radiocommunication services. This effort will improve the government's recognition of the opportunity costs and trade-offs of various telecommunications options in meeting operational requirements.

6. Technical Planning Process

To ensure that the federal government procures only the most effective and efficient technologies and systems, each federal agency that does not already do so should implement a formal process to evaluate their proposed needs for use of the spectrum before seeking spectrum certification from NTIA for new or improved radio systems. In particular, each agency should ensure that it is pursuing the most cost effective approach to obtaining its radiocommunication services, including the resource costs of spectrum. For example, agencies should consider procuring private sector radio services, commercial wireline services, use existing facilities operated by other agencies, and other approaches that may use less spectrum to meet their requirements. NTIA will review the agency analyses within its certification of spectrum support processes.

7. Use of Efficient Technologies for Effective Radiocommunication

To ensure that the current uses of radiocommunication systems are as efficient as possible and to develop new policies and plans for improvement as needed, NTIA should evaluate all spectrum use by the federal government over a five-year period to determine spectrum efficiency and effectiveness. The review should include spot compliance checks and signal measurement surveys to verify the accuracy of the records of the Government Master File (GMF), identify congestion and instances of duplicative operations that could be combined, and evaluate the utility of underutilized spectrum. NTIA should use the results of these reviews in the development of new and improved spectrum management policies, and the Federal Strategic Spectrum Plan. (See Recommendation 9)

8. Incentives For Use Of Efficient Radiocommunication Systems

NTIA, in coordination with the federal agencies, should initiate a plan to identify and implement incentives that promote more efficient and effective use of the spectrum. The plan should include development of methods or models to determine spectrum value. However, recognizing that market-based incentives may not be appropriate for all federal radio services and in all bands, NTIA should apply these incentives only in appropriate situations.

Develop Policy Tools to Streamline the Deployment of New and Expanded Services and Technologies While Preserving National and Homeland Security, and Public Safety, and Encouraging Scientific Research

Recommendations

9. National Strategic Spectrum Plan

A National Strategic Spectrum Plan should be developed. Each federal agency should provide biennially to NTIA a strategic spectrum plan, which NTIA would combine into a Federal Strategic Spectrum Plan. The FCC should also be encouraged to engage in long-range spectrum planning and to provide input into the federal planning process. Taken together, these two activities would produce the National Strategic Spectrum Plan, which may address: (1) new technologies or expanded services requiring spectrum, (2) the nature and characteristics of the new radiocommunication systems required, (3) the nature and characteristics of the spectrum required, and (4) suggested spectrum efficient approaches to meeting the spectrum requirements. The National Strategic Spectrum Plan would be reviewed by the Policy and Planning Steering Group (see Recommendation 13) which would provide recommendations to NTIA on implementation of the plan.

10. Facilitation of Interoperability and Continuity of Government Communications

The Department of Homeland Security (DHS) and NTIA as well as the Office of Science and Technology Policy (OSTP) should coordinate with the Departments of Defense, Justice, Agriculture, and the Interior and other appropriate federal agencies and entities, including the FCC, to develop and implement a plan to address the spectrum needs of federal, state, and local communication interoperability and the continuity of government operations in light of continuing terrorist threats, emergencies, and day-to-day operations. This plan should complement the national strategy developed and articulated by DHS in coordination with the state and local stakeholders that own and operate most of the nation’s public safety infrastructure and be integrated into the overall National Strategic Spectrum Plan.

11. Spectrum Sharing Innovation Test-Bed

The FCC and NTIA, in coordination with the federal agencies, should develop a plan to increase sharing of spectrum between federal government and non-federal government users. Within two years of this report’s publication, NTIA and the FCC should establish a pilot program to allow for increased sharing between federal and non-federal users. NTIA and the FCC should each identify a segment of spectrum of equal bandwidth within their respective jurisdiction for this program. Each segment should be approximately 10 MHz for assignment on a shared basis for federal and non-federal use. The spectrum to be identified for this pilot program could come from bands currently allocated on either an exclusive or shared basis. Two years after the inception of the pilot program, NTIA and the FCC should provide reports outlining the results and suggesting appropriate procedures for expanding the program as appropriate.

12. Characterization of New Technology and Expanded Services and Their Impact

The FCC and NTIA should work cooperatively to review existing analytical and measurement processes used to determine the impact of new technologies and expanded services on incumbents to reduce the time it takes to assess new uses of the spectrum. The results of the review would be published and augment the Best Practices Handbook. NTIA and the FCC should consider the development of a joint technical facility for characterizing new technologies and assessing their impact.

Meet Critical Spectrum Needs: National Security, Homeland Security, Public Safety, Federal Transportation Infrastructure, and Science

Recommendations

13. Policy and Plans Steering Group (PPSG)

To formalize the coordination process and to ensure that national security, homeland security, public safety, federal transportation infrastructure, scientific research, and economic opportunity are taken fully into consideration, the Assistant Secretary for Communications and Information should establish a Policy and Plans Steering Group (PPSG). The PPSG will consist of the Assistant Secretaries, or equivalent, with spectrum management oversight in agencies that are major stakeholders in the spectrum issues under consideration. The Assistant Secretary may invite any federal entity that is a stakeholder in the issues under consideration, including the FCC, to participate in the PPSG. The PPSG would provide advice to the Assistant Secretary on spectrum-dependent telecommunication policies, strategic plans, planned or revised positions on spectrum issues nationally and internationally, and help resolve major contentious spectrum policy issues that affect the use of spectrum by federal and non-federal users.

14. Policy Coordinating Committee (PCC)

As needed, the existing Policy Coordinating Committee (PCC) of the White House should be used to address spectrum-based radiocommunication issues that have not been resolved by the PPSG. The Assistant Secretary for Communications and Information, or a representative who is an Assistant Secretary or higher of an affected federal agency, may request PCC review of these issues. Such issues would include only those having a potentially significant impact on national security, homeland security, public safety, federal transportation infrastructure, scientific research, or economic opportunity. Further, NTIA should work with the FCC to revise Section IV (3) of their Memorandum of Understanding to append the following sentence, “For cases in which a White House Policy Coordinating Committee is convened, the Commission shall provide an additional minimum 15 business days for White House review.”

15. Formalization of the Arrangement With the FCC Defense Commissioner

The Assistant Secretary for Communications and Information should work closely with the FCC’s Defense Commissioner to ensure that the concerns of the agencies affected by national security, homeland security, public safety, and federal transportation infrastructure issues are considered fully in the course of NTIA and FCC proceedings. Further, this arrangement should be formalized by modifying the provisions of 47 C.F.R. § 0.181 to include the coordination of public safety activities as well as “national security, homeland security, and federal transportation infrastructure activities” as being within the purview of the Defense Commissioner.

Execution of Ongoing Spectrum Management Priorities

In support of the Initiative, NTIA will continue working towards efficient use of the spectrum through the following:

1) FCC/NTIA web-based coordination system development and implementation;

2) NTIA implementation of the Paperless Spectrum Management process;

3) FCC and NTIA monthly and biennial planning discussions as a result of the Memorandum of Understanding;

4) FCC and NTIA implementation of the agreement to relocate spectrum for advance wireless system use as per the Viability Assessment;

5) FCC and NTIA joint effort with the Department of State in reviewing and improving the World Radiocommunication Conference (WRC) process;

6) FCC and NTIA joint implementation of the results of the WRC 2003;

7) NTIA receiver standards study;

8) NTIA spectrum efficiency and effectiveness study;

9) NTIA interference criteria study;

10) NTIA compendium of innovative technologies for application to public safety; and

11) FCC and NTIA Rural Wireless Broadband report.

Background

The radio frequency spectrum is a limited natural resource of vital importance to the nation’s economy and well-being.

Many industries that provide essential services to the American public are more dependent on the radio spectrum than they are on raw materials and other natural resources. Moreover, many industries that are not dependent on spectrum for their core business rely heavily on spectrum-dependent technologies to increase their productivity.

· Broadcasters access the spectrum for AM and FM radio stations, UHF and VHF television stations, and applications using satellites for direct broadcasting to the home.

· Mobile communication services in the private sector include citizen’s band radio, maritime radios, cellular radios, paging systems, trunked radio systems, Personal Communication Systems, radios in commercial airplanes used for aeronautical radio-navigation and communications, and mobile-satellite communications and tracking systems.

· Wireline and media companies use spectrum-based systems for carrying voice, data, and video signals over long distances via microwave relay and satellite systems.

Likewise, spectrum use is essential to critical government functions ranging from defense and public safety to air traffic control and weather forecasting.

· The Department of Defense uses the spectrum extensively for aircraft command and control, mobile communication at military bases and airfields, and long-distance communications using satellites.

· Federal law enforcement agencies (e.g., Departments of Justice, the Treasury, the Interior, and Homeland Security) use the spectrum for command and control of their forces throughout the United States.

· The Federal Aviation Administration (FAA) uses spectrum for safety services such as aeronautical radionavigation, precision-landing systems for all weather operations, surveillance, and air-to-ground communications.

· The Department of Agriculture’s Forest Service rangers use the spectrum every time they use their transportable radios for control of crowds or forest fires.

· The Departments of Energy, the Interior, and the Army use the spectrum to transmit and receive control data to operate and protect federal dams and power grids.

· The Department of Homeland Security uses the spectrum for the protection of the United States and for communications in disaster areas via emergency radio networks.

· The National Aeronautics and Space Administration (NASA) uses the spectrum in virtually every aspect of satellite technology – launch, command, data collection, and landing.

· The Department of Commerce’s National Oceanic and Atmospheric Administration uses the spectrum to provide accurate and timely weather and water information, including forecasts and severe weather warnings.

· The National Science Foundation supports research in radio astronomy and other scientific disciplines that requires that the nation’s scientists have access to specific portions of the radio spectrum with regulatory protection from man‑made radio interference.

The total amount of spectrum in use is hard to quantify, but some measures suggest large increases in demand over the past 15 years. For example, the number of active frequency assignments at both the FCC and NTIA has increased dramatically (See Figure 1). At the FCC, the number of licenses has almost quadrupled. At NTIA the number of assignments significantly increased by 1990 but has held constant since then. Further, radio systems are much more numerous today, due especially to the almost ubiquitous use of cellular telephones and other mobile devices and the use of unlicensed radios, such as garage door openers and remote alarm systems. Along with greater overall demand for spectrum, radio systems have also become more complex during this period. This change has made the task of coordinating their use much more difficult.

U.S. policies must ensure that radio spectrum is used efficiently and fairly to promote the best interests of the public. Current spectrum management policies are under increasing strain as the demand for existing spectrum-based services grows and new spectrum-related technologies and applications emerge. The nation’s spectrum policies must keep pace with new technologies and demands on the resources while ensuring that essential government missions are maintained.

How the Government Uses Spectrum

The federal government’s spectrum use cuts across nearly all services and useful spectrum bands (see Figure 2). However, since technology limits most mobile voice communications to lower frequencies, almost 92 percent of the assignments authorizing government radio stations are below 3.1 gigahertz (GHz).

The federal government uses spectrum to provide public services that support safety of life and property, law enforcement, environmental management, and many other valuable social goods. The government should seek to act in an economically efficient manner, where the benefits of using the spectrum to provide those public goods are balanced with the benefits the spectrum could provide in non-federal uses. Consistent with this is the need for federal spectrum users to deploy the most cost effective technology, meaning that the use of spectrum resources by the technology is given due weight.

Almost every agency of the federal government uses the spectrum in performing mandated missions. Two dominant themes are present in the government’s use of the radio spectrum:

1. Federal agencies require communications and/or measurement capabilities (e.g., radar) to accomplish their missions.

2. The type of service required and the inescapable elements of time and space dictate the use of spectrum to satisfy these capability requirements.

One example of the use of radio technology is illustrated by a more detailed description of the FAA’s role in air traffic control and public safety.

The mission of the FAA is to provide the safest, most efficient and responsive aviation system in the world for the benefit of the public. The FAA has developed and operated the National Airspace System (NAS) to accomplish this mission. To support the NAS, the FAA uses radio frequencies for communications, radionavigation, and surveillance (radar) systems. Over 50,000 radio frequencies are assigned for use at approximately 3,000 air-to-ground communications sites, 1,140 instrument landing facilities, over 1,000 VHF omnidirectional range sets, approximately 300 airport surveillance radars, 130 long-range air route surveillance stations, and 60 airport surface detection equipment radar stations. The NAS ensures the safety of nearly 200,000 registered private aircraft flying over 24 million hours per year; approximately 528 million passengers carried in air carrier and commuter aircraft; and nearly 23 million military flights to support our Nation’s defense.

How the Spectrum is Shared

The spectrum management model in use for the past century has segregated incompatible uses of the spectrum into separate bands. Different but compatible types of service often share the same spectrum bands. The regulators have allocated the majority of all spectrum for shared use between both federal government and non-federal government users, but both groups have exclusive access to some bands. Some shared bands allow significant interaction between government and non-government facilities. For example, federal radio facilities allow private sector ships and aircraft to communicate and navigate. Federal law enforcement agencies communicate with their state and local government counterparts. Federal electrical power systems interconnect with non-federal power systems, both domestic and international. Civil Air Patrol stations communicate with the military. Thus, the value of intercommunication among federal, state, and local governments, and private organizations has led regulators to recognize the need for increased spectrum access for all users.

While NTIA and the FCC manage their respective constituents’ uses of the spectrum, both seek to serve the overall best interests of the public. The two spectrum managers have divided the usable radio spectrum (3 kHz-300 GHz) into about 800 frequency bands, and have allocated these bands to 34 radio services (e.g., fixed, radionavigation, mobile, broadcasting, and various satellite services). The allocation plan continues to change to meet evolving domestic and international spectrum needs.

Figure 3 shows that the total amount of spectrum allocated in the entire 3 kHz-300 GHz range to the federal government on an exclusive basis is 1.4 percent, 4.8 percent is allocated to the private sector on an exclusive basis, and 93.8 percent is allocated to the federal government and the private sector on a shared basis. In the range of valuable spectrum below 3.1 GHz, only 14.1 percent is allocated to the government on an exclusive basis, 31.7 percent is allocated for exclusive non-federal use, and 54.2 percent is allocated on a shared basis.

Federal Radio System Investment

The federal government has a significant investment in spectrum-dependent infrastructure. Federal investment in selected bands below 3650 MHz alone totals about $281 billion, as shown in Figure 4.[2] If federal operations need to relocate to other bands to accommodate private sector activities, this can involve significant capital investment costs. For example, in 1995 Congress ordered NTIA to reallocate 235 MHz of federal government spectrum to the private sector. This shift will cost taxpayers an estimated $500 million to move the federal government users.

Recent challenges

The recent experiences of the spectrum management community in its successful efforts to implement policies for three new technologies (third generation (3G) wireless, Wireless Fidelity (WiFi), and Ultrawideband (UWB)) illustrate the challenges posed by developing technologies to existing spectrum management procedures.

(1) In July 2002, NTIA released a plan in concert with the FCC and the DOD to make 90 MHz of spectrum available for 3G wireless services, which could include broadband mobile services, while retaining DOD access to the same spectrum for critically important spectrum requirements at selected locations.

(2) In February 2002, NTIA worked closely with the FCC to authorize mechanisms to accommodate UWB wireless technology without causing harmful interference to critical radio communications services.

(3) In February 2003, NTIA reached an agreement with the private sector and DOD on a technical solution that will permit unlicensed broadband services to share spectrum with government radar in the 5 GHz band.

The effort required to introduce these new technologies and services was substantial. However, the lessons learned from these experiences have laid the foundation for a spectrum management policy for the 21^st century.

The President’s Spectrum Policy Initiative

On May 29, 2003, the President signed a Presidential Memorandum outlining the Administration’s initiative for spectrum management reform. The Memorandum stated that:

The existing legal and policy framework for spectrum management has not kept pace with the dramatic changes in technology and spectrum use. Under the existing framework, the Government generally reviews every change in spectrum use, a process that is often slow and inflexible, and can discourage the introduction of new technology. Some spectrum users, including Government agencies, maintain that the existing spectrum process is insufficiently responsive to the need to protect current critical uses.[3]

The President stated that:

My Administration is committed to promoting the development and implementation of a U.S. spectrum policy for the 21st century that will: (a) foster economic growth; (b) ensure our national and homeland security; (c) maintain U.S. global leadership in communications technology development and services; and (d) satisfy other vital U.S. needs in areas such as public safety, scientific research, Federal transportation infrastructure, and law enforcement.[4]

To meet these goals, the President established the “Spectrum Policy Initiative.” He directed the Secretary of Commerce to conduct a comprehensive review to identify recommendations for improving spectrum management policies and procedures for the federal government and to address state, local, and private spectrum use. The President charged the Secretary of Commerce with preparing recommendations to:

(a) facilitate a modernized and improved spectrum management system;

(d) develop means to address the critical spectrum needs of national security, homeland security, public safety, federal transportation infrastructure, and science.[5]

The Memorandum also established the federal government Spectrum Task Force (Task Force) to focus on improving spectrum management policies and procedures to stimulate more efficient and beneficial federal use of the spectrum. The Task Force members were the heads of the following executive branch departments, agencies, and offices:

(1) Department of State;

(2) Department of the Treasury;

(3) Department of Defense;

(4) Department of Justice;

(5) Department of the Interior;

(6) Department of Agriculture;

(7) Department of Commerce;

(8) Department of Transportation;

(9) Department of Energy;

(10) Department of Homeland Security;

(11) National Aeronautics and Space Administration;

(12) Office of Management and Budget;

(13) Office of Science and Technology Policy;

(14) such other executive branch departments, agencies, or offices as the Chairman of the Task Force may designate; and

(15) subject to the authority of the Director, Office of Management and Budget, the Office of Project SAFECOM.[6] The President also directed the Secretary of Commerce to hold a series of meetings to obtain the views of the public on these issues. The meetings were to help the Secretary develop recommendations for revising policies and procedures to promote more efficient and beneficial use of spectrum without harmful interference to critical incumbent users. Participants were to include spectrum users, equipment vendors, financial and industry analysts, economists, technologists, consumer groups, and interested federal, state, and local government agencies. Moreover, the President encouraged the FCC to participate and provide input to NTIA.

The Memorandum also required the Secretary of Commerce to prepare reports for the President with recommendations based on this comprehensive review process. This report conveys the recommendations of the Task Force.

Work of the Task Force

The Administration’s Spectrum Policy Initiative Task Force, composed largely of Deputy Secretary- and Assistant Secretary- level representatives of the 15 agencies directed to participate by the President, met five times between July 10, 2003 and March 11, 2004. The Task Force established a working group to conduct a preliminary analysis of the issues and to make initial recommendations to the Task Force. This working level group met thirteen times to consider the various options, to make recommendations, and to provide information for consideration by the Task Force. The Task Force provided its recommendations to the Chairman of the Task Force for use in the Secretary of Com merce’s report to the President.

Background

The history of spectrum management is as old as the advent of radio communications. In 1906, the year when speech and music were first broadcast using radio, the first international radio conference was held. In the United States, widespread interference caused by unchecked transmission resulted in the Radio Act of 1912. The 1912 Act required the registration of transmitters with the Department of Commerce, but did not provide for the control of their frequencies, operating times, or station output powers. Thus, the 1912 Act was largely unsuccessful.

In 1922, U.S. government users of the spectrum gathered under the Secretary of Commerce to form the Interdepartment Radio Advisory Committee (IRAC) to coordinate U.S. Government use of the spectrum. The Government’s use of the spectrum was more easily coordinated than the public’s because the IRAC represented all federal users and such cooperation was mutually beneficial.

The Radio Act of 1927 established the Federal Radio Commission, which was shortly replaced by the FCC under the Communications Act of 1934 (the Act).[7] The FCC is authorized to develop classes of radio service, allocate frequency bands to the various services, and authorize frequency use to non-federal users.

In addition, Section 305 of the Act preserves for the President the authority to assign frequencies to all federal government owned and operated radio stations,[8] as well as the authority to assign frequencies to foreign embassies in Washington, DC, and to regulate the characteristics and permissible uses of the government’s radio equipment.[9] The President has delegated these powers to the Assistant Secretary for Communications and Information who is also the Administrator of NTIA.[10]

As shown in Figure 5, the result of the Act is that spectrum management in the United States is split between NTIA and the FCC, with inputs from other agencies in certain circumstances. NTIA manages the federal government’s use of the spectrum while the FCC manages all other uses. However, the Act does not mandate specific allocations of bands for exclusive federal, non-federal, or shared use; all such allocations stem from agreements between NTIA and the FCC.

U.S. Spectrum Management Goals

Section 1 of the Act provides guidance regarding spectrum management objectives. It states that the FCC is to regulate:

so as to make available . . . a rapid, efficient, Nationwide, and worldwide wire and radio communication service with adequate facilities at reasonable charges, for the purpose of the national defense, [and] for the purpose of promoting safety of life and property. . . .[11]

Title III of the Act authorizes the FCC to regulate generally the “channels of radio transmission,” including the licensing and operation of radio stations.[12] Title III, however, provides few details on the FCC’s objectives for spectrum management. In general, the Act directs the FCC to act consistent with the “public interest, convenience, or necessity.”[13] The “public interest” standard is the primary criterion for apportioning spectrum in the United States to non-federal users, although the Act mentions the goals of preventing interference among stations, promoting the efficient use of spectrum, and promoting public safety. The Act does not define “public interest,” but instead gives the FCC broad discretion to elucidate and give specific content to the public interest standard.

NTIA is similarly charged with managing the federal government’s use of the radio spectrum in the public interest. The NTIA Organization Act requires the agency to:

“. . . foster full and efficient use of telecommunications resources, including effective use of the radio spectrum by the federal government in a manner that encourages the most beneficial uses thereof in the public interest.”[14]

NTIA interprets this mandate to encompass the overall benefits the American public derives from radio communication services, federal and non-federal, as well as the needs of various federal users and choices among competing users.

The FCC and NTIA jointly manage the nation’s radio spectrum resources in the public interest. Both agencies are committed to performing their respective responsibilities in a cooperative, diligent, and professional manner to ensure that the spectrum is used for its highest and best purpose, whether by the private sector, state and local government, or federal agencies. The FCC and NTIA are required to work together to ensure that spectrum policy decisions promote efficient use of the spectrum consistent with both the economic interests and national security of the nation. To accomplish these goals, the Chairman of the FCC and the Assistant Secretary for Communications and Information signed a Memorandum of Understanding (MOU) in January 2003 that formalized their long-standing cooperative relationship.

Under the MOU, the Chairman of the FCC and the Assistant Secretary for Communications and Information agree to meet at least twice each calendar year to conduct joint spectrum planning. Further, they agree that their staffs will meet regularly to exchange information of mutual interest concerning spectrum management. Both agencies will give notice to each other of all proposed actions that could potentially cause interference to operations authorized by the other. Where possible, such notice will be given a minimum of 15 business days prior to final action for the other agency to comment. NTIA’s Associate Administrator for Spectrum Management and the FCC’s Chief of the Office of Engineering and Technology may agree to a different review period. Final action by the either agency, however, does not require approval of the other.

Executive Branch Organizations

In addition to NTIA, several other Executive Branch agencies are heavily involved in some aspects of spectrum management. The Department of State (State Department) is responsible for formulation, coordination, and oversight of foreign policy related to international communications and information policy. The Department of the Interior manages the use of the spectrum in the Trust Territories.

In addition, within the Executive Office of the President, the Office of Science and Technology Policy (OSTP) provides technical expertise and helps resolve differences between federal agencies, and develops communication support for continuity of operations of telecommunications for the federal government. (The Director of OSTP serves as the nation’s telecommunications services manager during wartime settings, and performs other operational telecommunications functions during non-wartime emergencies.) The Office of Management and Budget (OMB) provides budgetary oversight and policy coordination with respect to federal spectrum matters. In addition to the involvement of OSTP and OMB, the staffs of the National Economic Council (NEC), the National Security Council (NSC), and the Homeland Security Council (HSC), who report to the President, have a role in reviewing national spectrum policy on national security, public safety, homeland security, and economic development. For example, with respect to 3G wireless technical study, the NSC and NEC used an existing telecommunications Policy Coordinating Committee to establish a process by which NTIA, in conjunction with the FCC and DOD, was tasked to examine the technical feasibility of making spectrum available for 3G wireless services. HSC reviews spectrum policy for its effects on first responders, interoperability, and telecommunications support of homeland security and emergency preparedness.

The National Telecommunications and Information Administration

Executive Order 12046 established NTIA in the Department of Commerce in 1978. Subsequently, Congress codified these functions in the National Telecommunications and Information Administration Organization Act.[15] Among other responsibilities, NTIA is the principal telecommunications policy advisor to the President and the manager of federal government use of the spectrum. NTIA divides its responsibilities among five offices and four staff groups, which work together to investigate the changing field of telecommunications and develop appropriate Administration policies and regulations.

NTIA’s authority in spectrum management policy is broad. The NTIA Organization Act provides NTIA with the authority to assign frequencies and approve the spectrum uses proposed for new federal government systems. Federal users must obtain frequency assignments before they can operate transmitters.

Pursuant to delegations from the President and the Secretary of Commerce, the Administrator of NTIA is the ultimate authority in all spectrum management decisions for the federal government, except frequency assignment decisions, which can be appealed to the OMB Director. The Administrator, in turn, has delegated the responsibility for day-to-day spectrum management decisions and for developing proposals for spectrum management policies to the Associate Administrator for NTIA’s Office of Spectrum Management (OSM).

Some of the spectrum management work of OSM and NTIA involves classified radiocommunication systems used by the DOD, DOE, DOJ, DHS, and others to support public safety and national defense missions. These systems, although they are a relatively small proportion of the total number of federal government systems, (about 1% of all federal frequency assignments and 20% of all new radiocommunication systems reviewed by NTIA are classified) are of overwhelming importance to the safety and security of the United States. Because these systems are classified, NTIA may not be able to share pertinent spectrum management data with other users of the spectrum. However, OSM very carefully considers both the impact of new technologies and systems on the existing classified systems that must be protected and the economic needs of the industry and the people of the United States.

OSM formulates and establishes plans and policies that ensure the effective, efficient, and equitable use of the spectrum. To achieve this broad objective, OSM: develops long-range spectrum plans to meet future federal government spectrum requirements; develops plans for managing radio communications during emergencies; coordinates and registers federal government satellite networks internationally; satisfies the frequency assignment needs of the federal agencies; provides spectrum certification for new federal agency radio communication systems; performs the necessary engineering analysis for evaluating and planning spectrum use; and provides the necessary automated information technology capability to perform these activities.

Interdepartment Radio Advisory Committee (IRAC): The IRAC advises NTIA on the development of spectrum policy and procedural matters, develops federal government positions on international radio-treaty conference issues, and provides recommendations for conflict resolution.[16] The IRAC is composed of the representatives of 20 federal agencies and an FCC liaison. As shown in Figure 6, the IRAC has six subcommittees, which have representatives from the federal agencies, and are chaired by OSM staff, and four ad hoc groups that address various aspects of spectrum management policy. NTIA provides to the IRAC executive secretariat support and technical advice.

The IRAC Bylaws indicate that its primary function is to:

assist the Assistant Secretary for Communications and Information, through the Deputy Associate Administrator of OSM, in assigning frequencies to U.S. Government radio stations and in developing and executing policies, programs, procedures and technical criteria pertaining to the allocation, management, and use of the spectrum. The basic role of representatives appointed to serve on the IRAC shall be to function, when in Committee, in the interest of the United States as a whole.[17]

In addition, the IRAC provides a mechanism for coordinating federal use of the spectrum and resolving interference conflicts among the federal agencies. NTIA may accept, reject, or modify the recommendations of the IRAC on agency proposals for new frequency assignments, new radiocommunication systems, and spectrum management issues of interest to their agencies.

Spectrum Management Decision-Making at NTIA: NTIA reaches its decisions by using the consensus advice from the IRAC, NTIA staff technical and policy analyses, and, when appropriate, public input.^{^[18]} This allows each federal spectrum-using agency to review proposals for new radio services and stations from other federal users (and non-federal users in bands where regulatory jurisdiction is shared by NTIA and the FCC) to determine if the new proposals will have an adverse impact on existing and planned operating systems. The affected users can then negotiate directly and develop a timely technical resolution to the potential problem. NTIA decisions are thus broadly debated with a strong emphasis on rational, technical, and analytic bases to provide maximum flexibility and support for the needs of new systems while protecting the rights of the existing users.

With regard to day-to-day authorization of radio stations and certification of new major federal systems, the decisions are made via technical review with agency comment and coordination. NTIA generally bases its decisions on the consensual advice of the agencies with technical review of the applications by NTIA staff. Routine authorization requests take 14 working days or less, while those requiring additional information and interagency coordination can take considerably longer. Certification of new systems takes about four to six months on the average, depending on the complexity of the system, the environment in which it will operate, the completeness of the application information, and the need for interagency coordination.

Technical Analyses: NTIA and the federal agencies have long relied on the use of engineering analyses and technical standards to select and authorize operating frequencies for radio stations of all types. These practices have taken the form of minimum standards for transmitters and receivers and the use of minimum separation criteria for siting systems as well as analyses of all potential interference interactions to ensure compatible operations. The U.S. Government uses complex computer databases and entry validation routines to screen proposals for conformance to appropriate standards and to ensure that users of systems potentially subject to interference are provided a chance to coordinate operations.

System Review Process and the Application of Information Technologies: As the spectrum has become more densely used over time, the technical rigor of the analyses and screening of new services has become increasingly complex. Since the U.S. Government uses radio frequencies for many different services over the entire range of the spectrum, any screening program must be sufficiently complex to consider all possible interactions between the various radio services. This analysis requires the ability to predict reliably propagation losses in all types of terrains and environments at all frequencies.

This system review process seeks to ensure that federal agencies procure only equipment that is in conformance with all applicable standards and capable of operating within the existing environment without causing or suffering interference. The system review process is needed partly because of the long lead times for the development and implementation of complex telecommunication systems and partly because of the rapid advances of telecommunications in general. The system review process was formalized by the OMB Circular A-11, which requires federal agencies to obtain certification from NTIA of spectrum availability before requesting funds for development or procurement of major systems.

The process has always used state-of-the-art interference analyses to assess proposals and has been successful in ensuring that deployed equipment would operate properly.

The analyses and approval process often requires four to six months for completion and resolution of problems. However, DOD and NTIA have begun developing improvements to Spectrum XXI, an advanced Windows-based, PC-oriented program that assists agencies in preparing information for both the spectrum certification and frequency assignment portions of the federal spectrum management process. Spectrum XXI should permit near instant approval of proposals in full conformance with all applicable federal regulations.

The Department of State

The State Department is involved in all international aspects of spectrum management including bilateral discussions with neighboring countries about operations of radio systems near the borders. Their role is to insure that the United States speaks with one voice and that all applicable precedents and treaties are followed. The State Department, along with NTIA and the FCC, oversees U.S. preparations for meetings of international telecommunications bodies, such as the International Telecommunication Union (ITU), and the Inter-American Telecommunications Commission (CITEL).

The State Department also prepares the U.S. Ambassador to head the U.S. delegation to the World Radiocommunication Conferences (WRCs) of the ITU, which occur every 3-4 years to update the International Radio Regulations, the treaty governing the cooperative use of the radio spectrum among member states. The State Department is responsible for beginning WRC preparations and, under the appointed ambassador, leads the U.S. delegation.

The International Telecommunication Advisory Committee (ITAC), a General Services Administration-chartered advisory committee under the Federal Advisory Committee Act, is central to the State Department’s process for managing the U.S. preparations for international spectrum policy forums. The ITAC-Radiocommunication Activity (ITAC-R) process seeks to reconcile differences among various competing interests of federal and non-federal spectrum users in preparing the formal submissions by the United States to the ITU Radiocommunication