Overview
Title
An Act To direct the Federal Communications Commission to publish a list of entities that hold authorizations, licenses, or other grants of authority issued by the Commission and that have certain foreign ownership, and for other purposes.
ELI5 AI
The bill wants the FCC to make a list of companies that have special permissions and might be owned by people from other countries, so everyone can see it online. They have to make this list in a short time and keep it updated every year.
Summary AI
H. R. 820 requires the Federal Communications Commission (FCC) to create and publish an online list of entities that hold FCC licenses or authorizations and have specific foreign ownership. This list must be published within 120 days of the act's enactment and updated annually. The FCC is also tasked with issuing rules to gather necessary information about entities with foreign ownership and add them to the list. Certain paperwork requirements, such as those under the Paperwork Reduction Act, are waived for this process.
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AnalysisAI
General Summary
The bill known as the "Foreign Adversary Communications Transparency Act" aims to increase transparency regarding foreign ownership in the U.S. communications sector. It directs the Federal Communications Commission (FCC) to publish a list of entities holding FCC authorizations, licenses, or other grants of authority that have notable foreign involvement. The intent is to highlight businesses influenced by foreign governments or organizations that may raise national security concerns.
Summary of Significant Issues
Several issues arise from the bill's current language and structure. Firstly, the timeline for compiling and publishing the initial list (120 days for publication and 18 months for rulemaking) might be prolonged, delaying prompt identification of entities with foreign ties. This delay could leave potential risks unchecked, compounding security concerns.
The term “appropriate national security agency” is somewhat obscure, as it requires reference to an external legislative document for a clear definition. This could hinder understanding and implementation for those unfamiliar with the Secure and Trusted Communications Networks Act of 2019.
Additionally, the bill exempts the FCC's information collections from the Paperwork Reduction Act, potentially reducing oversight and scrutiny. This means the administrative burden on entities might increase, and there may be less transparency in how the information is gathered.
Annual updates to the list might not adequately keep pace with rapidly evolving ownership structures, particularly concerning foreign entities, leading to outdated or incomplete information. Furthermore, complex language in the rulemaking section could pose challenges for stakeholders trying to comply, possibly resulting in legal disputes or enforcement difficulties.
Impact on the Public
Broadly, this bill seeks to bolster national security by scrutinizing foreign involvement in the telecommunications industry. Greater transparency in foreign ownership could assure the public that the communications infrastructure is shielded from undue foreign influence. However, if not managed correctly, these measures could also lead to unnecessary administrative challenges or delays in technological innovation due to cautious overregulation.
Impact on Specific Stakeholders
For communication companies, particularly those with foreign investments, the bill introduces added regulatory scrutiny and potential administrative compliance burdens. Companies may need to dedicate resources to ensure their reporting aligns with FCC requirements and to preemptively address any security concerns delineated by the list.
National security agencies stand to benefit as they receive clearer insights into foreign influences within the communications sector, making it easier to monitor and mitigate risks.
Upon full implementation, the bill could foster an environment of caution among foreign investors in the U.S. telecom market. While aiming to protect national interests, it's imperative that such measures uphold a careful balance to avoid dissuading beneficial international partnerships and investment that could contribute positively to the sector's growth and innovation.
Issues
The timeline for the initial publication of the list (120 days) and the rulemaking process (18 months) in Section 2 might delay the timely identification and action on entities with foreign ownership, which could pose a risk to national security due to potentially unchecked foreign influence in the communications sector.
The term 'appropriate national security agency' in Section 2 is not clearly defined within the bill itself and relies on external legislation for definition, causing potential confusion and complicating understanding for stakeholders who may not be familiar with referenced terms in the Secure and Trusted Communications Networks Act of 2019.
The exemption from the Paperwork Reduction Act in Section 2 could decrease oversight and review of the information collected by the FCC, which may lead to a higher administrative burden on entities and reduced transparency in the information gathering process.
Annual updates to the list, as prescribed in Section 2, may not be adequate for addressing rapidly changing ownership structures, especially those involving foreign entities of national security concern, thereby risking outdated information influencing policy and regulatory decisions.
The language used in the rulemaking subsection of Section 2 is complex and may lead to misunderstanding or non-compliance by stakeholders, potentially resulting in legal challenges or difficulties in enforcing the provisions of the bill.
Sections
Sections are presented as they are annotated in the original legislative text. Any missing headers, numbers, or non-consecutive order is due to the original text.
1. Short title Read Opens in new tab
Summary AI
The first section of this act gives it a short title, which is “Foreign Adversary Communications Transparency Act.”
2. List of entities holding FCC authorizations, licenses, or other grants of authority and having certain foreign ownership Read Opens in new tab
Summary AI
The section of the bill requires the Federal Communications Commission (FCC) to publish and annually update a list of entities that hold FCC licenses and have certain foreign ownership. The list will help identify entities with significant equity or voting interest from foreign governments or organizations, ensuring transparency and consideration of national security concerns.