The key to narrow-band interference excision in frequency domain is to determine the excision threshold in direct-sequence spread-spectrum (DS-SS) systems. The excision threshold is a non-linear function related to the number and the power of interference, and attempting to get the exact relation of threshold related to the number and the power of interference is almost impossible. The N-sigma algorithm determines the excision threshold using subsection function; however, the excision threshold determined by this method is not exact. A new method to determine the threshold of N-sigma algorithm is proposed. The new method modifies the scale factor N by use of the membership function. The threshold determined by this method is consecutive and smooth, and it is closer to the fact than that of the initial N-sigma algorithm. The GPS signal and single-tone (CW) interference (that is, typical narrow-band interference) are implemented in the simulation, and the results are presented to demonstrate the validity of the new algorithm.