WASHINGTON, DC, UNITED STATES, October 17, 2025 /EINPresswire.com/ -- The United States Hispanic Business Council (USHBC), the leading advocate for America’s 4.5 million Hispanic-owned businesses collectively contributing over $850 billion to the nation’s economy, opposes Section 1564 of the Senate-passed National Defense Authorization Act. This provision, championed by Senators Deb Fischer (R-NE) and Mike Rounds (R-SD), would hand the Secretary of Defense and the Chairman of the Joint Chiefs of Staff a de facto veto over spectrum auctions already protected from Federal Communications Commission (FCC) auctions until 2034 under the One Big Beautiful Bill (OBBB) Act. This provision undermines civilian spectrum management, chills private investment, and constricts the broadband growth that small businesses rely on to compete and create jobs.

Furthermore, it effectively walks back the hard-won agreement Senator Ted Cruz (R-TX), Chairman of the Senate Committee on Commerce, Science, and Transportation, secured in the OBBB. Reopening an already settled deal to rewrite a law that was never part of the original compromise undermines the principle of regulatory stability. The White House reinforced that view in its September 9, 2025 Statement of Administration Policy, formally opposing Section 1564 on the grounds that it would hinder the President’s executive authority.

Javier Palomarez, USHBC President and CEO, issued the following statement:

“Small businesses run on connectivity. A predictable, civilian-led spectrum pipeline is what turns innovation into opportunity on Main Street by lowering costs, speeding networks, and opening new markets for entrepreneurs. Chairman Cruz’s spectrum pipeline policy in the OBBB struck the right balance: prioritizing national security carve-outs while requiring that 800 MHz be identified and brought to market, driving billions in taxpayer revenue and private-sector buildout. The newly authorized spectrum auctions, projected to generate $85 billion for taxpayers and representing the largest commercial spectrum initiative in U.S. history, is precisely the kind of pro-growth policy that strengthens both innovation and national competitiveness. Section 1564 would upend that deal by inserting a new, redundant military veto over auctions, injecting uncertainty where we need clarity, and slowing the next wave of 5G and 6G deployment that our small firms need to reach consumers, hire workers, and grow their enterprises.”

Section 1564 would prohibit any modification to Department of Defense systems, unless the Secretary of Defense and the Chairman of the Joint Chiefs of Staff certify that such changes would not result in a loss of military capability. While proponents argue that Section 1564 simply preserves vital defense spectrum, those protections were already embedded in the existing OBBB framework, making new restrictions redundant and economically harmful.

Palomarez continued:

“Senators Fischer and Rounds are asking for a second bite at the apple on spectrum bands that were already addressed in the OBBB. That is bad policy, and bad faith. Small businesses cannot plan investments around shifting goalposts or new gatekeepers. As Congress deliberates final passage in the coming weeks, I urge senators and representatives from both parties to reject Section 1564, preserve the existing spectrum auction authority written into law this year, and keep the decision in the hands of Senate-confirmed civilian officials at the National Telecommunications and Information Administration (NTIA) and FCC. The path to faster, cheaper, and more reliable internet for entrepreneurs is more licensed spectrum brought to auction on a clear timeline. Vetos, delays, and bureaucratic red tape benefit no one.”

The USHBC remains committed to policies that expand licensed mid-band spectrum for commercial use, maintain and exercise auction authority, and sustain a robust pipeline that fuels private investment and innovation. That framework is how we connect more communities, power digital tools for local businesses, and ensure America leads the next generation of wireless enterprise and innovation.

To learn more, follow @myushbc and @JPalomarez on X.
Visit ushbc.com/join to become a member today.

About the USHBC
​​Javier Palomarez is the President & CEO of the United States Hispanic Business Council (USHBC). The USHBC is a leading voice for the small business community. A 501(c)6 non-profit organization, the USHBC focuses on the success of American small businesses by ensuring they have a voice in the national dialogue. The USHBC is a nonpartisan organization.

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The O'Hara Project
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