New algorithms for frequency channel assignment in small cellular mobile radio system are proposed. The algorithms are for a channel assignment method which control the transmitter power level based on the distance between the cell site and the mobile unit. These algorithms are such that any channel can be used by any cell site and mobile unit, as long as a required threshold level of carrier to interference ratio is maintained. As the cochannel reuse distance decreases, the proposed algorithms have given an increase in capacity in comparison to a fixed channel assignment.