Title 47 — Telegraphs, Telephones, and RadiotelegraphsRelease 119-73not60

§1602 Prohibition on Use of Certain Federal Subsidies

Title 47 › Chapter 15— SECURE AND TRUSTED COMMUNICATIONS NETWORKS › § 1602

Last updated Apr 5, 2026|Official source

Summary

Federal money from FCC programs that pays for the capital costs to build advanced communications service must not be used to buy, rent, lease, get, or to maintain any "covered communications equipment or service." "Covered communications equipment or service" means the items the FCC lists under section 1601(a). The ban takes effect 60 days after the FCC puts an item on that list; if an item is on the first list, the ban starts on the day the list is published. The FCC must issue a Report and Order to put this rule in place within 180 days after March 12, 2020. If the FCC already acted before March 12, 2020 to implement the rule, it does not have to redo that action unless it conflicts with this rule.

Full Legal Text

Title 47, §1602

Telegraphs, Telephones, and Radiotelegraphs — Source: USLM XML via OLRC

(a)(1)A Federal subsidy that is made available through a program administered by the Commission and that provides funds to be used for the capital expenditures necessary for the provision of advanced communications service may not be used to—

(A)purchase, rent, lease, or otherwise obtain any covered communications equipment or service; or

(B)maintain any covered communications equipment or service previously purchased, rented, leased, or otherwise obtained.

(2)Paragraph (1) shall apply with respect to any covered communications equipment or service beginning on the date that is 60 days after the date on which the Commission places such equipment or service on the list required by section 1601(a) of this title. In the case of any covered communications equipment or service that is on the initial list published under such section, such equipment or service shall be treated as being placed on the list on the date on which such list is published.

(b)Not later than 180 days after March 12, 2020, the Commission shall adopt a Report and Order to implement subsection (a). If the Commission has, before March 12, 2020, taken action that in whole or in part implements subsection (a), the Commission is not required to revisit such action, but only to the extent such action is consistent with this section.

Reference

Citations & Metadata

Citation

47 U.S.C. § 1602

Title 47 — Telegraphs, Telephones, and Radiotelegraphs

Last Updated

Apr 5, 2026

Release point: 119-73not60