Secure and Trusted Communications Networks Reimbursement Program Report

In the Secure and Trusted Communications Networks Act of 2019, Congress directed the Federal Communications Commission to establish the Secure and Trusted Communications Networks Reimbursement Program to reimburse providers of advanced communications services for costs incurred to remove, replace, and dispose of communications equipment and services in their networks that pose a national security risk. As part of the FCC’s obligations under the Secure and Trusted Communications Networks Act, the FCC’s Wireline Competition Bureau submits this report on: (1) the implementation of the Reimbursement Program by the Commission; and (2) “the work by recipients of reimbursements under the Reimbursement Program to permanently remove, replace, and dispose of covered communications equipment or services in their networks. To date, 30 Reimbursement Program recipients have, collectively, submitted 1,988 Reimbursement Claim Requests. The Bureau have approved $40,965,745 in Reimbursement Claims. The Bureau estimates that 2% of recipients that submitted status updates have completed the permanent removal, replacement, and disposal of all the covered communications equipment and services in their networks. The Bureau estimates that around 830% of respondents have made some progress in their overall plan but have not completed the work. An estimated 15% of respondents indicated that they have not yet begun the work to permanently remove, replace, and dispose of the covered communications equipment and services in their networks. Although these estimates show that there is still a considerable amount of work to be done to fulfill all of the objectives of the Reimbursement Program, the majority of recipients began to implement the removal, replacement, and disposal plans before the October 13, 2022 due date for their status updates.