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Federal Register / Vol. 86, No. 112 / Monday, June 14, 2021 / Proposed Rules Reimbursement Program funding allocations to eligible providers based on the estimated costs identified in their application for the removal, replacement, and disposal of eligible covered communications equipment and services. The Commission also proposes to periodically release public notices announcing grants of funding allocations. As provided by the Commissions rules, once an allocation is granted recipients can then request and receive funding disbursements by filing a Reimbursement Claim Request showing actual expenses incurred.
Further, per the Commissions rules, Reimbursement Program recipients must file an initial Reimbursement Claim Request within one year after the grant of a funding allocation. Recipients also have one year from the first disbursement of funds to complete the permanent removal, replacement, and disposal of covered communications equipment or services. While there are additional filings associated with the Reimbursement Program, for example, status updates, spending reports, extension requests, and a final certification of project completion, the Public Notice focuses on the Application Request for Funding Allocation and the Reimbursement Claim Request. After reviewing the comments received in response to the Public Notice, the Commission will release a final public notice announcing the filing requirements and the information to be reported in these filings.
3. Application Request for Funding Allocation. The Bureau is developing an online portal through which applicants and recipients would electronically submit all filings related to the Reimbursement Program, including the Application Request for Funding Allocation. The Bureau also proposes to utilize a version of the previously developed Reimbursement Fund Administration System RFAS to process requests and coordinate interactions between program participants, the Fund Administrator Ernst & Young LLP, and the Bureau.
Attached to the Public Notice as Appendix A are the information fields the Bureau proposes to collect from providers seeking a funding allocation from the Reimbursement Program through an Application Request for Funding Allocation including identifying information, program eligibility information, allocation information, and program analysis information. The Commission seeks comments on these information fields and ask whether any of this information
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should not be required. Are there additional information fields applicants should be required to provide?
4. As required by the Secure Networks Act and the Commissions rules, the Application Request for Funding Allocation requires applicants to submit an initial estimate of costs reasonably incurred for the permanent removal, replacement, and disposal of covered communications equipment or services.
While the Commission prefers that applicants submit estimates based on detailed engineering analysis and vendor quotes, applicants may, per the Commissions rules, rely upon the predetermined estimated costs identified in the final Catalog made available by the Bureau. The Bureau plans to subsequently announce the adoption of the final Catalog in a forthcoming public notice. The final Catalog will contain a list of many, but not necessarily all, of the relevant expenses.
5. For purposes of reviewing initial estimated costs, the Commission proposes to base its evaluation on the average between the minimum and maximum costs listed in the cost estimate range for a particular itemized expense listed in the Catalog, rather than allowing applicants to choose any amount within the cost estimate range.
The Commission believes allowing applicants to select a cost within the range would inevitably lead to the selection of the maximum amount in the range and could result in a substantial overestimation of costs upon which allocations are based, to the detriment of the Reimbursement Program and other participants. By using the average cost estimate, the Commission can mitigate this concern as well as reduce the administrative burden on applicants.
However, if an applicant finds a Catalog cost estimate average does not fully account for its costs or a cost category is not identified in the Catalog, the applicant, in accordance with the Commissions rules, can instead provide its own individualized cost estimate.
Applicants providing individualized cost estimates would be required to submit additional supporting documentation e.g., vendor quotes and certify the cost estimate is made in good faith, as required by the Commissions rules. The Commission proposed approach to use the average cost estimate from the Catalog balances the Commissions goals of protecting against waste, fraud, and abuse while facilitating the production of estimates of costs reasonably incurred by applicants. The Commission seeks comments on these proposals.

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6. The Commission further proposes requiring applicants to identify in their application for each location site: 1
Where covered communications equipment or services are located e.g., address, longitude and latitude, etc.
and documentation supporting the acquisition/existence of such covered equipment or services; and 2 the itemized cost estimates, taken from the Catalog where applicable, that are associated with the removal, replacement, and disposal of covered equipment or services at each site. The Commission also proposes allowing applicants to report in their applications non-site specific cost estimates, that is, network-wide costs that apply to several site locations such as disposal costs or software upgrades. To facilitate application preparation and ease the filing burden on applicants, the Commission will evaluate the use of batch uploads to allow applicants to provide and generate site-specific information in the application. The Commission seeks comments on these proposals.
7. Applicants are required to provide certifications pursuant to section 4d4
of the Secure Networks Act and 1.50004c of the Commissions rules, 47 CFR 1.50004c, and a plan and specific timeline for the removal, replacement, and disposal of the covered communications equipment or services. Applicants are also required by the Commissions rules to certify in good faith that: A it will reasonably incur the estimated costs claimed as eligible for reimbursement; B it will use all money received from the Reimbursement Program only for expenses eligible for reimbursement; C
it will comply with all policies and procedures relating to allocations, draw downs, payments, obligations, and expenditures of money from the Reimbursement Program; D it will maintain detailed records, including receipts, of all costs eligible for reimbursement actually incurred for a period of 10 years; and E it will file all required documentation for its expenses.
8. The Commission proposes to require applicants to obtain or utilize an FCC Registration Number FRN issued by the Commission Registration System CORES to access the online filing portal to file a Reimbursement Program application. An FRN is an identifying number that is assigned to entities doing business with the Commission. The Commission also proposes to require applicants to register with the System for Award Management SAM and provide the SAM Commercial and Government Entity CAGE Code in
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