TIP OF THE WEEK:
If you plan to request a waiver of the FY2021 application filing window deadline, be sure to certify and submit your FCC Form 471 before you file your waiver request with the FCC. Note that you will receive an out-of-window status notification after you certify your form.
Commitments for Funding Year (FY) 2020
FY 2020. USAC released FY2020 Wave 49 Funding Commitment Decision Letters (FCDLs) on April 1. As of April 2, FY2020 commitments total over $2.36 billion. On the date that FCDLs are issued, you can access your FCDL notification from the Notifications section of your landing page in the E-rate Productivity Center (EPC).
New Certification Requirements for National Supply Chain
Since November 2019, the FCC has taken a number of actions to protect the national security of the United States, the security and safety of United States persons, and the integrity of communications networks or the communications supply chain. The FCC has also implemented the Secure and Trusted Communications Networks Act of 2019. The FCC's actions can be found at www.fcc.gov/supplychain. In November 2019, the FCC released the Supply Chain First Report and Order adopting a rule (47 CFR § 54.9), which prohibits the use of Universal Service Fund (USF) support to purchase, obtain, maintain, improve, modify, operate, manage, or otherwise support equipment or services produced or provided by companies found to pose a national security threat to the integrity of communications networks or the communications supply chain. On June 30, 2020, the FCC's Public Safety and Homeland Security Bureau designated Huawei Technologies Company (Huawei) and ZTE Corporation (ZTE), and their parents, affiliates, and subsidiaries, as companies that pose such threats, and thus the prohibition against the use of USF support applies to them. In the Second Report and Order, the FCC adopted a second, additional rule (47 CFR § 54.10) to implement the Secure and Trusted Communications Networks Act of 2019, which prohibits prospective use of certain federal subsidies, including USF funds, to purchase, rent, lease, or otherwise obtain any covered communications equipment or service, or maintain any covered communications equipment or service previously purchased, rented, leased, or otherwise obtained, identified on the FCC-issued Covered List, released on March 12, 2021 (and updated as needed). Based on this Covered List, recipients of universal service support may not use federal subsidies, including universal service funds, for telecommunications equipment or video surveillance equipment produced by Huawei, ZTE, Hytera Communications Corporation (Hytera), Hangzhou Hikvision Digital Technology Company (Hangzhou Hikvision), and Dahua Technology Company (Dahua). Please note: This list is not exhaustive, and it is the responsibility of universal service recipients to stay up-to-date on all covered companies, their parents, affiliates, and subsidiaries. In short, recipients of USF support may not use USF money to buy new equipment or to support or maintain equipment already in inventory, from these companies, their parents, affiliates, and subsidiaries. New Certifications: Two new certifications of compliance with these supply chain rules have been added to the FCC Form 473. Upcoming Audits: In addition, beginning this summer, USAC will start to conduct compliance audits regarding national supply chain rules. To help you prepare, USAC will host a series of webinars so that you can learn more about what to expect if you are selected for an audit.
What This Means for the FCC Form 473
When service providers log in to E-File, they will see two new supply chain certifications included in the FCC Form 473. The first certification affirms compliance with the section 54.9 prohibition on using USF support to purchase, obtain, maintain, improve, modify, operate, manage, or otherwise support equipment or services produced or provided by the covered companies. The second certification affirms compliance with section 54.10, which prohibits the use of any federal subsidies on any communications equipment and services on the Covered List. After service providers file the FCC Form 473 (with the certifications), a Service Provider Identification Number (SPIN), "2021" will show up in the Service Provider Download Tool and the SPIN Search Tool on the Tools page on the USAC website. As a reminder, service providers who have more than one SPIN must file a separate form for each SPIN. Service providers who have already filed their SPAC Forms for FY2020 that did not include the certifications — you will not be required to recertify the form, but these certifications will now be required for service providers who file an FY2020 SPAC Form for the first time. USAC updated the FCC Form 473 User Guide to reflect these changes.
FY2020 applicants: If you requested services or equipment in FY2020 that contains components, products, or services produced by any of the above-named companies, or any of their parents, affiliates and subsidiaries, you cannot invoice for this equipment or services. Instead, you should immediately request a service substitution prior to invoicing in order to ensure complete program compliance.
FY202 applicants: As you proceed with competitive bidding and submitting funding requests forms, please ensure you are not requesting funding for services or equipment from any of the above-named companies, or any of their parents, affiliates, and subsidiaries. If you have already submitted your funding requests, and it includes services or equipment from these companies or any of their parents, affiliates and subsidiaries, please submit a service substitution via a RAL request in EPC.
Service providers who participate in multiple USF programs must complete these annual certifications for each other program (i.e., Rural Health Care, High Cost, and Lifeline) in which they participate. For additional information and FCC form due dates, visit USAC’s Supply Chain webpage.
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