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Small Carriers Concerned

Supply Chain Order May Get 4-0 Nod; Tweaks Possible

A draft order tweaking rules of the secure and trusted communications networks reimbursement program, set for a commissioner vote Tuesday (see 2106220060), is expected to get support of all four commissioners. A few slight changes are possible, said industry and agency officials. FCC officials said they are sorting through possible changes, within decisions to be made before the meeting.

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The Competitive Carriers Association and the Rural Wireless Association sought tweaks, which are getting a closer look, officials said. Few other changes are likely, especially since the FCC is mostly implementing changes required by Congress in the Secure and Trusted Communications Networks Act, approved in December (see 2012220061), officials said. An FCC spokesperson didn’t comment Wednesday.

The draft order proposes June 30 by when providers had to buy equipment and services to be eligible for reimbursement and creates a prioritization system if reimbursement program demand surpasses the $1.9 billion appropriated by Congress. It increases the customer eligibility cap for participation in the program from providers with 2 million or fewer customers to those with up to 10 million. The draft says funding is limited to the “removal, replacement, or disposal of communications equipment and services produced or provided by Huawei or ZTE” on the FCC’s covered list.

In a filing posted Wednesday in docket 18-89, RWA reported on conversations with aides to the four commissioners. The group urged commissioners to give priority to eligible telecom carriers before prorating funding within other categories. RWA raised concerns that under revised rules, demands could be more than the money approved, which means some needs would go unfunded. “Prioritize ETCs before all other applicants,” RWA asked. “Fully fund ETCs before all other applicants.”

ETCs “have nowhere else to go for this money,” said RWA General Counsel Carri Bennet in an interview. Schools, healthcare providers and libraries have access to funding not available to ETCs, she said. “The big question on the table and the big unknown is until everyone puts in their estimates, we don’t know if we’re going to use up all the money or not, and you only get to go in one time with an estimate.” RWA is concerned about the timetables because it will potentially drive up costs of replacements since companies that can do the work are limited.

CCA spoke with aides to the four commissioners, per a filing posted Tuesday (see 2107010046). CCA sought clarity that the program will pay for upgraded technology and an immediate six-month extension of deadlines for completing replacement. “The guidance they are providing is welcome,” emailed CCA President Steve Berry. “We hope the FCC will provide additional clarity.”

Open radio access network company Mavenir weighed in in a filing posted Wednesday. The company didn’t seek changes, saying the FCC was right to make ORAN an option for equipment replacements. The company didn’t comment.