Supply Chain Reimbursement Program
32.010
On March 12, 2020, the Secure and Trusted Communications Networks Act of 2019 (Secure Networks Act), Pub. L. No. 116-124, was signed into law. Section 4 of the Secure Networks Act, 47 U.S.C. § 1603, directed the Federal Communications Commission (Commission) to establish the Secure and Trusted Communications Networks Reimbursement Program (Reimbursement Program) to reimburse providers of advanced communications services with two million or fewer customers for the removal, replacement, and disposal of covered communications equipment and services from their networks. On December 11, 2020, the Commission released a rulemaking order establishing the Reimbursement Program. The Commission tasked the Wireline Competition Bureau with implementing the Reimbursement Program. See Protecting Against National Security Threats to the Communications Supply Chain Through FCC Programs, WC Docket No. 18-89, Second Report and Order, 35 FCC Rcd 14284 (2020) (Second Report and Order). On December 27, 2020, the Consolidated Appropriations Act, 2021 (CAA), Pub. L. 116-260, became law, appropriating $1.9 billion for the Commission to “carry out” the Reimbursement Program and amending the Reimbursement Program to, among other things, increase eligibility to those providers of advanced communications services with ten million or fewer customers. The Commission adopted a rulemaking order on July 13, 2021, to implement the amendments contained in the CAA, FCC 21-86. Consistent with the CAA, the Commission expanded Reimbursement Program eligibility to providers with ten million or fewer customers and limited the use of Reimbursement Program funds to the removal, replacement, and disposal of covered communications equipment or services produced or provided by Huawei Technologies Company (Huawei) or ZTE Corporation (ZTE), including their subsidiaries and affiliates, that was obtained on or before June 30, 2020. See Protecting Against National Security Threats to the Communications Supply Chain Through FCC Programs, WC Docket No. 18-89, Third Report and Order, FCC 21-86 (rel. July 14, 2021) (Third Report and Order).
This chart shows obligations for the program by fiscal year. All data for this chart was provided by the
administering agency and sourced from SAM.gov, USASpending.gov, and Treasury.gov.
For more information on each of these data sources, please see the
About the data page.
Pursuant to the Secure Networks Act as amended by the CAA, the FCC has established this Reimbursement Program to reimburse eligible providers of advanced communications service for “costs reasonably incurred in removing, replacing, and disposing of covered communications equipment and services.”
Single Audit Applies (2 CFR Part 200 Subpart F):
For additional information on single audit requirements for this program, review the current Compliance Supplement.
OMB is working with the U.S. Government Accountability Office (GAO) and agency offices of inspectors general to include links to relevant oversight reports. This section will be updated once this information is made available.