OMB COST ESTIMATE
FOR PAY-AS-YOU-GO CALCULATIONS

Report No: 505
Date:05/02/00

1. LAW NUMBER: P.L.106-180 (S. 376)
2. BILL TITLE: Open-market Reorganization for the Betterment of InternationalTelecommunications Act
3. BILL PURPOSE: Establishes a framework for thepro-competitive privatization of theInternational Telecommunications Satellite Organization (INTELSAT) and theInternational Mobile Satellite Organization (Inmarsat).
4. OMB ESTIMATE: P.L. 106-180 creates a new exemption for orbital locations orspectrum used for the provision of international or global satellite communicationsservices to the requirement that the Federal Communications Commission (FCC) auctionlicenses if there are mutually exclusive applications to use radio frequencies forcommercial services. OMB's baseline did not assume the need to conduct any auctionsthat are covered by this exemption during the projection period and therefore OMB doesnot estimate any costs from this change.

	(Fiscal years; in millions of dollars)
	2000	2001	2002	2003	2004	2005
Net costs.................	0	0	0	0	0	0

5. CBO ESTIMATE:

	(Fiscal years; in millions of dollars)
	2000	2001	2002	2003	2004	2005
Net costs.................	0	0	0	5	5	5

6. EXPLANATION OF DIFFERENCES BETWEEN OMB AND CBO ESTIMATES:

The differences between OMB and CBO estimates are the result of different baselineassumptions.

7. CUMULATIVE EFFECT OF DIRECT SPENDING AND REVENUE LEGISLATIONENACTED TO DATE:

	(Fiscal years; in millions of dollars)
	2000	2001	2002	2003	2004	2005
Outlay effect..............	2	4	2	1	1	1
Receipt effect............	*	*	*	*	*	*
Net costs....................	2	4	2	1	1	1

* $500,000 or less.