WASHINGTON-An amendment to the bill that would fund the Federal Communications Commission for Fiscal Year 2004 was passed late Thursday by the Senate Appropriations Committee and would grant Northpoint Technology Ltd. spectrum without an auction, but could also end auctions altogether if a powerful senator is to be believed.
“We create a precedent, and there will not be any more auctions,” said Sen. Diane Feinstein (D-Calif.). Even though the Northpoint amendment passed by voice vote, Feinstein joined Sen. Robert Byrd (D-W.V.), the senior member of the Senate, in voting present. Sen. Fritz Hollings (D-S.C.), ranking member of the Senate Appropriations commerce; justice, state and the judiciary subcommittee; and the Senate Commerce Committee, voted no.
The amendment would allow Northpoint, a digital broadcast satellite license applicant, to offer a wireless Internet solution to rural America. Northpoint has been in a long-running battle to offer its service, which uses satellite and terrestrial technology.
Earlier this year, Northpoint shocked the wireless world when it was able to get an amendment attached to the Commercial Spectrum Enhancement Act, the formal name for the spectrum relocation bill, but Toni Cook Bush, Northpoint executive vice president, said the spectrum relocation bill appeared to be stalled so it was necessary to attach it to a must-pass bill.
“The issue for us is we were concerned that the spectrum relocation bill was not moving. We wanted it on a bill that will be enacted this year,” said Bush. “I don’t think it is the death of auctions.”
Talking with reporters following the Senate meeting, Feinstein again expressed concern about the impact on the auction process.
Bush said that Northpoint has met with Feinstein’s office, so Feinstein’s apparent opposition surprised Bush.
Now that Northpoint has gotten its language attached to a funding bill, it might be willing to remove its language from the spectrum relocation bill.
“We hope that the Northpoint amendment has found a new vehicle,” said Travis Larson, spokesman for the Cellular Telecommunications & Internet Association. “The wireless industry still opposes spectrum give-aways.”
Bush said no one had approached her about stripping the Northpoint language from the spectrum-relocation bill.
