Cruz Still Aiming For Spectrum Pipeline in Reconciliation Bill

WASHINGTON, March 25, 2025 – Senate Commerce Committee Chairman Ted Cruz, R-Texas, is still pushing for a spectrum pipeline in an upcoming reconciliation bill despite Defense Department (DoD) opposition, he said Tuesday.

“As you all know, DoD has historically resisted giving up spectrum. But I think we’re going to get this done, and that is a major priority,” he said. He spoke at a Free State Foundation conference.

Cruz and other Republicans are looking to restore the Federal Communications Commission’s ability to auction off airwaves, which expired in March 2023, to the private sector as part of a budget bill this year – the reconciliation process allows certain spending legislation to be passed with a slimmer majority in the Senate. 

The idea is to use the money raised by the auction to help pay for tax cuts and other spending priorities. It’s not clear yet how much money the Congressional Budget Office will estimate being brought in by the auction, and thus how much of a pay-for it will be. 

Estimates cited by lawmakers earlier this year had put the reauthorization itself at about $70 billion over ten years, with a requirement to sell off a minimum quantity of airwaves potentially adding another $10 to $15 billion. Cruz is pushing for including such a pipeline, an idea supported by the 5G carriers and their trade groups.

The pipeline issue has been a sticking point, as the Defense Department and allied lawmakers have strongly opposed the idea. The military sees it as all but a mandate to give up the lower 3 GigaHertz band, which has favorable characteristics for 5G networks and is sought after by the wireless industry. The FCC’s auction authority lapsed in the first place over concerns the Navy would have to vacate the band.

Sen. Mike Rounds, R-S.D., a member of the armed service committee, has said the military estimates it would cost more up to $250 billion to move essential radars from the lower 3 GHz band, potentially complicating the CBO analysis of a pipeline. CTIA, the major wireless trade group, has said it would be content to somehow coexist with DoD on a portion of the band.

“I am fighting hard for spectrum to be part of the reconciliation bill,” Cruz said. “In that bill, you’ve got to pay for a whole lot. And a spectrum auction is a big, big pay-for.”