Hello

Thank you for visiting my site

Contact me here

Supply Chain Annual Reports – Providers Of Advanced Communications Services Must File No Later Than May 5, 2022

Supply Chain Annual Reports – Providers Of Advanced Communications Services Must File No Later Than May 5, 2022

February 4, 2022 – The FCC’s Office of Economics and Analytics and Wireline Competition Bureau have announced that providers of advanced communications services must submit a Supply Chain Annual Report detailing whether their networks contain or use “covered” communications equipment or services.[1]

Supply Chain Annual Reports must be filed electronically, no later than May 5, 2022, using the FCC’s online portal.

Additional information on the online reporting portal, reporting requirements, and filing instructions are available from the FCC’s Supply Chain website at https://www.fcc.gov/supplychain.

The FCC’s Supply Chain Proceeding & Initial Reporting Of Covered Equipment

The annual report filing is part of the FCC’s supply chain proceeding, which is an effort to rid U.S. communications networks of equipment and services that pose an unacceptable risk to the national security of the U.S. or the security and safety of U.S. persons.[2] The FCC started by “prospectively prohibit[ing] the use of USF funds to purchase or obtain any equipment or services produced or provided by a covered company posing a national security threat to the integrity of communications networks or the communications supply chain.”[3] The FCC then conducted an initial information collection in 2020 to determine the extent to which potentially prohibited equipment exists in current networks and the costs associated with removing such equipment and replacing it with equivalent, approved equipment.[4] All eligible telecommunications carriers (ETCs) and their subsidiaries and affiliates were required to report the extent to which their networks contain or use potentially prohibited equipment or services provided by Huawei, ZTE, or their subsidiaries, parents, or affiliates, and the costs associated with removing and replacing such equipment. After Congress passed the Secure and Trusted Communications Networks Act of 2019, the proceeding was broadened to, among other things, create a program to reimburse costs for service providers to rip out and replace prohibited equipment and services.[5]

2022 Supply Chain Annual Reports & Subsequent Reports

All providers of advanced communications services must file a Supply Chain Annual Report, regardless of whether they have covered equipment or services in their networks, or whether they are eligible to participate in the Secure and Trusted Communications Networks Reimbursement Program.[6]

“Advanced communications service” is defined as “high-speed, switched, broadband telecommunications capability that enables users to originate and receive high-quality voice, data, graphics, and video telecommunications using any technology with connection speeds of at least 200 kbps in either direction.”[7] In general, “Covered equipment or services” are prohibited from U.S. communications networks because they have been “deemed to pose an unacceptable risk to the national security of the U.S. or the security and safety of U.S. persons.”[8] The FCC’s Covered List shows which equipment and services are currently prohibited.

To be clear, even if a provider of advanced communications service does not have any covered communications equipment or services in its network, it still must file a report and certify as such through the online reporting portal by May 5, 2022. The FCC has explained that “as this is a new information collection, past participation in the 2019 Supply Chain Information Collection does not constitute compliance with this reporting requirement.”[9]

Some providers of advanced communications services will have to file subsequent Supply Chain Annual Reports, and some will not have to:

Has Covered Equipment or Services: Following the May 5, 2022 filing, “any provider that has previously certified that it had purchased, rented, leased, or otherwise obtained covered communications equipment and services on the Covered List must continue to submit a report once per year on or before March 31 with respect to information as of December 31 of the previous year until such covered communications equipment and services are removed.”[10]

Does Not Have Covered Equipment or Services: Following the May 5, 2022 filing, any provider certifying that it does not have any covered communications equipment or services “will not need to file subsequent annual reports unless the provider purchases, rents, leases, or obtains covered communications equipment or services at a later date, or if additional equipment or services are added to the Covered List that would mean that the provider can no longer certify that it does not have any covered communications equipment or services to report.”[11]

The FCC’s Covered List

The FCC’s Public Safety and Homeland Security Bureau has published a list of the prohibited equipment and services, which is periodically reviewed and updated. Currently, this Covered List contains equipment or services produced by five entities, which extends both to subsidiaries and affiliates of the entities, as well as to telecommunications or video surveillance services provided by such entities or using such equipment:

  • Huawei Technologies Company – Telecommunications equipment, including telecommunications or video surveillance services provided by such entity or using such equipment.

  • ZTE Corporation – Telecommunications equipment, including telecommunications or video surveillance services provided by such entity or using such equipment.

  • Hytera Communications Corporation – Video surveillance and telecommunications equipment, to the extent it is used for the purpose of public safety, security of government facilities, physical security surveillance of critical infrastructure, and other national security purposes, including telecommunications or video surveillance services provided by such entity or using such equipment.

  • Hangzhou Hikvision Digital Technology Company – Video surveillance and telecommunications equipment, to the extent it is used for the purpose of public safety, security of government facilities, physical security surveillance of critical infrastructure, and other national security purposes, including telecommunications or video surveillance services provided by such entity or using such equipment.

  • Dahua Technology Company – Video surveillance and telecommunications equipment, to the extent it is used for the purpose of public safety, security of government facilities, physical security surveillance of critical infrastructure, and other national security purposes, including telecommunications or video surveillance services provided by such entity or using such equipment.

**********



[1] Office Of Economics And Analytics And Wireline Competition Bureau Announce The Establishment Of The Supply Chain Annual Reporting Portal, Filings are due May 5, 2022, WC Docket No. 18-89, Public Notice, DA 22-109 (Feb. 4, 2022) (Public Notice), https://docs.fcc.gov/public/attachments/DA-22-109A1.pdf.

[2] See Protecting Against National Security Threats to the Communications Supply Chain Through FCC Programs, WC Docket No. 18-89, Notice Of Proposed Rulemaking, FCC 18-42 (Apr. 18, 2018), https://www.fcc.gov/document/fcc-proposes-protect-national-security-through-fcc-programs-0.

[3] Protecting Against National Security Threats to the Communications Supply Chain Through FCC Programs, WC Docket No. 18-89, Huawei Designation, PS Docket No. 19-351, ZTE Designation, PS Docket No. 19-352, Report And Order, Further Notice Of Proposed Rulemaking, And Order, FCC 19-121 (Nov. 26, 2019), https://docs.fcc.gov/public/attachments/FCC-19-121A1.pdf.

[4] Wireline Competition Bureau And Office Of Economics And Analytics Open Reporting Portal For Supply Chain Security Information Collection, Requires Eligible Telecommunications Carriers to Report Existing Huawei and ZTE Equipment and Services and Replacement Costs, WC Docket No. 18-89, Public Notice, DA 20-166 (Feb. 26, 2020), https://docs.fcc.gov/public/attachments/DA-20-166A1.pdf.

[5] See Wireline Competition Bureau Seeks Comment On The Applicability Of Section 4 Of The Secure And Trusted Communications Networks Act Of 2019 To The Commission’s Rulemaking On Protecting Against National Security Threats To The Communications Supply Chain, WC Docket 18-89, Public Notice, DA 20-406 (Apr. 13, 2020), https://docs.fcc.gov/public/attachments/DA-20-406A1.pdf; Protecting Against National Security Threats to the Communications Supply Chain Through FCC Programs, WC Docket No. 18-89, Declaratory Ruling And Second Further Notice Of Proposed Rulemaking, FCC 20-99 (July 17, 2020), https://docs.fcc.gov/public/attachments/FCC-20-99A1.pdf.

[6] Pursuant to Section 5 of the Secure and Trusted Communications Networks Act of 2019, providers of advanced communications service are required to report and certify annually whether they have “purchased, rented, leased, or otherwise obtained any covered communications equipment or service” on or after August 14, 2018, or within 60 days after the date on which the FCC places such equipment or service on the “Covered List.” Public Notice at p. 1.

[7] 47 C.F.R. § 1.50001(a).

[8] “Covered communications equipment or service” is defined as “any communications equipment or service that is included on the Covered List developed pursuant to § 1.50002.” 47 C.F.R. § 1.50001(d).

[9] Public Notice at p. 2.

[10] Public Notice at p. 2; 47 C.F.R. § 1.50007(b).

[11] Public Notice at p. 2; 47 C.F.R. § 1.50007(c).

FCC Releases Information On Applications For Secure and Trusted Communications Networks Reimbursement Program – 161 Applications Accepted – Roughly $5.6 Billion In Funding Requested

FCC Releases Information On Applications For Secure and Trusted Communications Networks Reimbursement Program – 161 Applications Accepted – Roughly $5.6 Billion In Funding Requested

USAC Files Universal Service Fund’s Estimated Funding Requirements For Second Quarter Of 2022

USAC Files Universal Service Fund’s Estimated Funding Requirements For Second Quarter Of 2022