Lawmakers Still Want to Shape FCC's 5G Auction

Vice President Mike Pence (R-IN) and White House Economic Adviser Larry Kudlow have both prominently endorsed Federal Communications Commission Chairman Ajit Pai’s plan for auctioning off the 5G-friendly C-band airwaves, and this GOP support could dim congressional Republican interest in legislative deal-making. But prominent Democrats and Republicans who wanted to legislate say there’s still a chance.

Consider the top Senate Commerce Committee Democrats: “I don’t think just because Vice President Pence said something, that’s the end of the conversation,” said Sen. Brian Schatz (D-Hawaii), suggesting that the “administration is not of one mind on this.” Expect “endless lawsuits” under Pai’s plan, Sen Schatz added. Senate Commerce Ranking Member Maria Cantwell (D-WA) maintains that a negotiation window is open. “We don’t want anybody to overspend, including the FCC,” she said, alluding to the $9.7 billion in compensation that Chairman Pai would pay the satellite operators holding the airwaves to persuade them to sell. House Commerce Committee Ranking Member Greg Walden (R-OR) is also very much still at the negotiating table: “I think there’s a good opportunity for us to act.”

And Sen. John Neely Kennedy (R-LA) still plans appropriations hearings on Pai’s plan, although not before the FCC’s Feb. 28 vote on the C-band auction outline (the auction itself would happen in December). “They can also un-vote later,” said Sen Kennedy. “Or we can pass a bill and un-vote for ’em.” Sen Kennedy has joined Sens Schatz and Cantwell to propose legislation giving only $1 billion in incentives to the satellite firms, and explicitly reserving a cut of the proceeds for broadband buildout. Sen Kennedy (an ally of President Donald Trump) also questioned whether Trump truly backs the FCC proposal, as Vice President Pence has said. “President Trump hasn’t [backed it] — Pence has, and Kudlow has,” Sen Kennedy countered. “Any of these people who are for this, I wouldn’t take them to buy a car with me because they would pay the sticker price.”