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Airwaves-Auction Proceeds Drop by $11.6 Billion in Budget

The Obama administration estimated that auctions of airwaves would raise $16.2 billion under its proposed federal budget for the next fiscal year, $11.6 billion less than the year-earlier projection.

The estimate contained in President Barack Obama’s spending proposal released today tracks with Congressional Budget Office calculations that airwaves auctions included in legislation passed by the House in December would bring in $16.7 billion.

Today’s estimate accounted for spending including helping to set up a nationwide communications network for police, firefighters and other emergency workers, Meg Reilly, a White House spokeswoman, said in an e-mail.

The administration wants to devote more airwaves to wireless high-speed Internet service. It proposes paying television station owners who voluntarily surrender unneeded airwaves for auction, a plan that requires congressional approval.

Lawmakers are trying to reconcile differing House and Senate versions of bills authorizing the auctions.

To contact the reporter on this story: Todd Shields in Washington at tshields3@bloomberg.net

To contact the editor responsible for this story: Michael Shepard at mshepard7@bloomberg.net

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