The FCC has begun approving reimbursements for the removal and replacement of equipment from Huawei and ZTE under the Secure and Trusted Communications Networks Reimbursement Program (Reimbursement Program).
The Reimbursement Program is funded by a $1.9 billion congressional appropriation.
In February, FCC Chairwoman Jessica Rosenworcel first notified Congress that providers initially requested approximately $5.6 billion under the program.
Because demand for program support exceeds available funding, the FCC confirmed that it is implementing a prioritization scheme that requires funding to be allocated first to approved applicants that have 2,000,000 or fewer customers (Priority 1).
After review of the submitted applications, the FCC has determined that Priority 1 applicants have submitted approximately $4,640,284,672 in cost estimates that are reasonable and supported.
Because available funding is substantially less than that amount, the Commission rules require that allocations to Priority 1 applicants be prorated on an equal basis. The pro-rata factor applied to those allocations is approximately 39%.
https://www.fcc.gov/document/fcc-announces-supply-chain-reimbursement-program-approved-applications
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