It;s a wash
If the FCC can eliminate all broadcast TV in dense areas (we're not talking about way rural areas here, there's PLEANTY of spectrum for those folks in the boonies to have their 2 or 3 channels and cell phones too), and if the auction of those frequencies generate enough money to give everyone a permanant discount on cable TV to the point where the cable company OR sattelite company is required by law to provide you your local stations completely free of charge (even if you DON'T subscribe), then I'm all for it...
Basically, I have 2 family members who do NOT currently get TV in any way that over the air. The simply refuse to pay for it otherwise. They get 7 channels locally, 5 in HD, all now digital. The have 4 TVs, and used the government's money to buy 2 set top boxes for the two that did not natively support digital signals. They spent $200 on a fany new HD anteanna on the roof. They're happy. Now if in a couple of years, the FCC takes away broadcast, all they'd ask is that the cable company swing by, hook up a line to their home's anteanna in port, and all 4 of their TVs would get the broadcast tier of cable TV with no further interaction. Since they're in a reasonable area, cable is already available. For some others a few miles away, the gov't would have to pay for a few sattelite boxes and a disk, and someone to set it up and maintain it;s direction to a valid sattelite, and the sattelite company would get a few dollars a month to have their account open and authorize the receivers to pick up only the local tier.
No cost to the household, profit for the government, no more bitching from the telcos, WAY less power used in signal tranmission, and less complication for the local folks broadcasing (and way lower power bills too, which actually would permit way more local TV station competition).
This is a win, win, win. Why fight it?
Yea, it might cost 20bn, but it will make 60. Given goverment numbers, it will un over budget by 2 fold, but taxpayers will still profit 20bn anyway, we'll roll out some additional cable line in the process too (or IPTV, which would be a MUCH better way to use that money).