Objections Raised as FCC Seeks Comment on Implementing Secure Networks Act

Monday. “Since June 2018, Huawei has repeatedly highlighted the constitutional, statutory and procedural flaws in the Commission’s approach to addressing national security risks to the communications supply chain,” the Chinese vendor said. The Networks Act “requires the Commission to rely on specific national security determinations made by other agencies (or Congress) and does not allow the Commission (or the Bureau) to make such judgments itself,” Huawei said. ZTE cited differences between November's order (see 1911220033) and the act and said decisions about covered companies must be made by “an executive branch interagency body” not the commission acting alone. The agency should first focus on reimbursements for companies that need to replace equipment from the Chinese vendors, the Rural Wireless Association said. RWA said COVID-19 raises new concerns: “Given the unprecedented events of the last few weeks, the fact that the Secure Networks Act does not require final designation until 2021, and the ultimate desire by all parties operating covered company equipment to replace those elements as soon as practicable, the Commission should abstain from issuing any final designation public notice before March 2021.” WTA asked the FCC to reconsider its rules. “A plain reading of the Act requires the Commission to replace its current designation process with an equipment-centric approach instead of the company-centric approach it adopted,” WTA said. USTelecom said the FCC must rely on language in the National Defense Authorization Act for FY 2019 in crafting rules. The act “compels the Commission to confirm its designation of Huawei and ZTE as entities that produce covered equipment,” the group said: The earlier supply chain order "presented significant evidence describing why both Huawei and ZTE warrant designations as ‘companies that pose a threat to national security.’”