FCC Report Says Agency OK'd $693 Million in Claims for Rip-and-Replace Program

In an update to Congress on its rip-and-replace program, the FCC said as of June 1, it has received 23,830 reimbursement claims across 122 of the 126 applications approved for a funding allocation to replace Huawei and ZTE communications gear and services. It also approved more than $693 million in claims “for which funds have been fully disbursed to recipients or are in the process of being disbursed through the U.S. Treasury.” The FCC noted a May 2 letter from Chairwoman Jessica Rosenworcel to Congress urging full funding, which would close the program's shortfall of more than $3 billion (see 240502007). The Wireline Bureau “has continued to review Reimbursement Claims submitted by recipients and disburse funds within the approved funding allocations for costs reasonably incurred to remove, replace, and dispose of covered communications equipment and services,” the report said in Tuesday’s Daily Digest: “We have also received and reviewed the sixth and seventh rounds of status updates submitted by Reimbursement Program recipients.” The FCC estimated that 12% of participants have completed the program. Complaints from participants include “(1) absence of full funding; (2) supply chain delays; (3) labor shortages; (4) weather-related challenges; and (5) extended review times in the processing of requests for reimbursement,” the report said. Providers continue seeking additional time to complete the program. This week, Hotwire Communications became the latest to seek an extension, citing delays in obtaining replacement equipment, labor shortages and funding “uncertainties.”