Wireless industry officials are applauding provisions of the American Jobs Act (AJA) that would authorize the FCC to conduct incentive auctions of broadcast television spectrum that would be used for wireless broadband services, and reallocate the 700 MHz D-block to public safety entities. Unveiled by President Obama in a speech to Congress on September 8, the AJA provides $7 billion in federal funds for construction of a nationwide public safety broadband network in the 700 MHz D-block. That amount is significantly lower than the $12 billion outlay proposed in public safety legislation now pending before the Senate. Although the Obama Administration projects total taxpayer costs of $10 billion for implementing AJA provisions that pertain to the D-block, officials also estimate that proceeds from incentive auctions of broadcast spectrum will ultimately reduce the federal deficit by $18 billion. Like the Public Safety Spectrum and Wireless Innovation Act (S. 911) that is up for consideration on the Senate floor, the AJA would establish a non-profit Public Safety Broadband Corporation that would hold the license for the D-block and for the 10 MHz swath of adjacent 800 MHz band channels that would be used for the nationwide public safety network. Among other things, the AJA would also (1) allocate $1 billion to compensate broadcasters for the cost of spectrum repacking, (2) allow the usage of broadband technologies in narrowband public safety spectrum bands, (3) extend permanently the FCC’s auction authority, which is scheduled to expire in September 2012, and (4) require the FCC to impose spectrum fees (with certain exceptions) on licensees whose channels are not subject to the auction process, including companies seeking to use satellite spectrum seeking for terrestrial service. (Television broadcasters and public safety licensees would be exempt from paying spectrum fees.) Praising Obama’s plan “to put more wireless spectrum into the marketplace,” AT&T senior executive vice president Jim Cicconi predicted that the legislation “will go a long way to resolving [the] critical national infrastructure problem.”