Process Reform for Executive Branch Review of Certain FCC Applications and Petitions Involving Foreign Ownership, 29914-29916 [2020-09873]

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• FEDERAL COMMUNICATIONS COMMISSION

[Federal Register Volume 85, Number 97 (Tuesday, May 19, 2020)]
[Proposed Rules]
[Pages 29914-29916]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-09873]


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FEDERAL COMMUNICATIONS COMMISSION

47 CFR Parts 0, 1, and 63

[IB Docket No. 16-155; DA 20-452; FRS 16720]


Process Reform for Executive Branch Review of Certain FCC 
Applications and Petitions Involving Foreign Ownership

AGENCY: Federal Communications Commission.

ACTION: Proposed record of proceeding.

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SUMMARY: In this document, the International Bureau (IB) refreshes the 
record in Executive Branch Review Process Proceeding, IB Docket 16-155, 
by adding Executive Order 13913 into the record of the proceeding and 
seeking comment.

DATES: Comments are due on or before June 18, 2020, and reply comments 
are due on or before July 2, 2020.

ADDRESSES: Pursuant to Sec. Sec.  1.415 and 1.419 of the Commission's 
rules, 47 CFR 1.415, 1.419, interested parties may file comments and 
reply comments on or before the dates indicated in this document. 
Comments may be filed using the Commission's Electronic Comment Filing 
System (ECFS). See Electronic Filing of Documents in Rulemaking 
Proceedings, 63 FR 24121 (1998).
     Electronic Filers. Comments may be filed electronically 
using the internet by accessing the ECFS: https://www.fcc.gov/ecfs.
     Paper Filers. Parties who choose to file by paper must 
file an original and one copy of each filing. If more than one docket 
or rulemaking number appears in the caption of this proceeding, filers 
must submit two additional copies for each additional docket or 
rulemaking number.
    Filings can be sent by commercial overnight courier, or by first-
class or overnight U.S. Postal Service mail. All filings must be 
addressed to the Commission's Secretary, Office of the Secretary, 
Federal Communications Commission.
    [cir] Commercial overnight mail (other than U.S. Postal Service 
Express Mail and Priority Mail) must be sent to 9050 Junction Drive, 
Annapolis Junction, MD 20701. U.S. Postal Service first-class, Express, 
and Priority mail must be addressed to 445 12th Street SW, Washington, 
DC 20554.
     Effective March 19, 2020, and until further notice, the 
Commission no longer accepts any hand or messenger delivered filings. 
This is a temporary measure taken to help protect the health and safety 
of individuals, and to mitigate the transmission of COVID-19. See FCC 
Announces Closure of FCC Headquarters Open Window and Change in Hand-
Delivery Policy, Public Notice, DA 20-304 (March 19, 2020). https://www.fcc.gov/document/fcc-closes-headquarters-open-window-and-changes-hand-delivery-policy.
     People with Disabilities: To request materials in 
accessible formats for people with disabilities (braille, large print, 
electronic files, audio format), send an email to [email protected] or 
call the Consumer & Governmental Affairs Bureau at 202-418-0530 (voice) 
or 202-418-0432 (TTY).
    In addition, filers may provide one copy of each filing to each of 
the following: (1) Arthur Lechtman, Attorney, Telecommunications and 
Analysis Division, International Bureau, at [email protected], 
and (2) David Krech, Associate Division Chief, Telecommunications and 
Analysis Division, International Bureau, at [email protected].

FOR FURTHER INFORMATION CONTACT: For further information, please 
contact Arthur Lechtman, Telecommunications and Analysis Division, 
International Bureau, at [email protected] or (202) 418-1465.

SUPPLEMENTARY INFORMATION: The Commission refers certain applications 
to Executive Branch agencies when there is reportable foreign ownership 
in the applicant. Specifically, where an applicant has a 10% or greater 
direct or indirect owner that is not a U.S. citizen, Commission 
practice has been to refer an application for: (1) International 
section 214 authority; (2) assignment or transfer of control of 
domestic or international section 214 authority; (3) a submarine cable 
landing license; and (4) assignment or transfer of control of a 
submarine cable landing license. The Commission also refers petitions 
seeking authority to exceed the foreign ownership limits in section 
310(b) of the Communications Act of 1934, as amended, 47 U.S.C. 310(b), 
for broadcast and common carrier wireless licensees, including common 
carrier satellite earth stations.
    On June 24, 2016, the Commission adopted a Notice of Proposed 
Rulemaking (NPRM) to improve the timeliness and transparency of the 
process involving referral of certain applications with reportable 
foreign ownership to Executive Branch agencies, including the Team 
Telecom agencies, for feedback on any national security, law 
enforcement, foreign policy, or trade policy concerns. Process Reform 
for Executive Branch Review of Certain FCC Applications and Petitions 
Involving Foreign Ownership, 81 FR 46870 (2016) (Executive Branch 
Review Process NPRM). Specifically, the Commission sought comment on: 
(1) The types of applications to be referred to the Executive Branch; 
(2) the information that should be provided by an applicant with 
reportable foreign ownership in order to facilitate Executive Branch 
review; (3) certifications to be made by an applicant that it will 
comply with several mitigation measures; and (4) time frames for 
Executive Branch review of the applications. The Commission proposed a 
90-day review period for applications referred to the Executive Branch, 
with a one-time additional 90-day extension for circumstances where the 
Executive Branch required additional review time beyond the initial 
period.
    On April 4, 2020, the President signed Executive Order 13913, 
Establishing the Committee for the Assessment of Foreign Participation 
in the United States Telecommunications Services Sector, 85 FR 19643 
(April 8, 2020). Importantly, among other things, the Executive Order 
sets out procedures and timeframes for the Committee's review of 
applications referred by the Commission.

[[Page 29915]]

    The Executive Order establishes the Committee to review 
applications referred by the Commission. The Committee may also review 
existing licenses to identify any additional or new risks to national 
security or law enforcement interests of the United States, where the 
Commission previously has referred the application for the license to 
the Committee or its predecessor agencies for review. The Committee is 
comprised of the Secretary of Defense; the Secretary of Homeland 
Security; and the Attorney General, who serves as Chair (together, the 
Committee Members). The President may also appoint the head of any 
other department or agency, or any Assistant to the President, to be a 
member of the Committee. The Executive Order also provides for 
Committee Advisors. Within 90 days of the signing of the Executive 
Order, the Committee Members and the Director of National Intelligence 
shall enter into a Memorandum of Understanding (MOU) on the process to 
implement the Executive Order.
    The Executive Order sets out the following time frames for the 
Committee's review of an application for a ``license'' or transfer of a 
license referred by the Commission: 120 days for an initial review and 
a 90-day secondary assessment of an application if the Committee 
determines that the risk to national security or law enforcement 
interests cannot be mitigated by standard mitigation measures. The 
Executive Order defines a ``license'' as any license, certificate of 
public interest, or other authorization issued or granted by the 
Federal Communications Commission after referral of an application by 
the Commission to the Committee or its predecessor group of agencies. 
It defines an ``application'' as any application, petition, or other 
request for a license or authorization, or the transfer of a license or 
authorization, referred by the Commission to the Committee or its 
predecessor group of agencies. At the conclusion of its review, the 
Committee may advise the Commission that the Committee has no objection 
to grant of the application; recommends that the Commission deny the 
application due to the risk to the national security or law enforcement 
interests of the United States; or recommends that the Commission 
condition grant on the applicant's compliance with standard or non-
standard mitigation measures. In cases where the Committee Members and 
Committee Advisors cannot reach consensus on recommendations to deny or 
condition on non-standard mitigation, they shall submit a 
recommendation to the President.
    The Committee may seek information from an applicant in furtherance 
of its review and assessments of the application, and the 120-day time 
frame for review begins when the Committee Chair determines that the 
applicant's responses are complete. The MOU will delineate questions 
and requests for applicants and licensees that may be needed to acquire 
information necessary to conduct the reviews and assessments and define 
the standard mitigation measures.
    By this Public Notice, the Commission enters the Executive Order 
into the record of IB Docket No. 16-155 and seeks comment on the effect 
of the Executive Order on the Commission's proposed rules and 
procedures.
    Request for Comments: The Commission seeks comment on the effect of 
Executive Order 13913 on the proposals in the Executive Branch Review 
Process NPRM for Executive Branch review of Commission applications 
with reportable foreign ownership. Commenters should address how the 
Executive Order affects the specific proposals and issues raised in the 
Executive Branch Review Process NPRM. The Commission seeks comment 
generally on whether the Executive Order warrants any further or 
different rules to improve timeliness and transparency.
    In particular, the Commission invites the Executive Branch to 
provide its view on the effect of the Executive Order in this 
proceeding and on the following issues. Will the Committee make 
publicly available a standard set of questions and requests to 
applicants? If so, how will applicants be able to access them? Would 
the Committee expect an applicant's responses to such questions to be 
submitted to the Committee at the time the application is filed? Does 
the Executive Branch continue to propose that certain certifications be 
made by applicants as part of the application process? If so, are there 
any changes to the proposed certifications? And does the Executive 
Branch continue to propose that all applicants make the certifications, 
or that such certifications apply solely to those applicants with 
reportable foreign ownership?
    Interested parties also may take this opportunity to refresh the 
record of this proceeding with new facts or circumstances that have 
occurred since the NPRM's comment period closed in 2016. For example, 
how does the passage of the Clarifying Lawful Overseas Use of Data 
(CLOUD) Act, 18 U.S.C. 2713, affect the proposed certification on 
access to communications and records? The Commission sought comment of 
requiring an applicant to certify that it will ``make communications 
to, from, or within the United States, as well as records thereof, 
available in a form and location that permits them to be subject to 
lawful request or valid legal process under U.S. law, for services 
covered under the requested Commission license or authorization.''
    Ex Parte Information: This proceeding shall be treated as a 
``permit-but-disclose'' proceeding in accordance with the Commission's 
ex parte rules. 47 CFR 1.1200. Persons making ex parte presentations 
must file a copy of any written presentation or a memorandum 
summarizing any oral presentation within two business days after the 
presentation (unless a different deadline applicable to the Sunshine 
period applies). Persons making oral ex parte presentations are 
reminded that memoranda summarizing the presentation must (1) list all 
persons attending or otherwise participating in the meeting at which 
the ex parte presentation was made, and (2) summarize all data 
presented and arguments made during the presentation. If the 
presentation consisted in whole or in part of the presentation of data 
or arguments already reflected in the presenter's written comments, 
memoranda, or other filings in the proceeding, the presenter may 
provide citations to such data or arguments in his or her prior 
comments, memoranda, or other filings (specifying the relevant page 
and/or paragraph numbers where such data or arguments can be found) in 
lieu of summarizing them in the memorandum. Documents shown or given to 
Commission staff during ex parte meetings are deemed to be written ex 
parte presentations and must be filed consistent with Sec.  1.1206(b) 
of the Commission's rules. In proceedings governed by Sec.  1.49(f) of 
the Commission's rules or for which the Commission has made available a 
method of electronic filing, written ex parte presentations and 
memoranda summarizing oral ex parte presentations, and all attachments 
thereto, must be filed through the electronic comment filing system 
available for that proceeding, and must be filed in their native format 
(e.g., .doc, .xml, .ppt, searchable .pdf). Participants in this 
proceeding should familiarize themselves with the Commission's ex parte 
rules.


[[Page 29916]]


Federal Communications Commission
Denise Coca,
Chief, Telecommunications & Analysis Division, International Bureau.
[FR Doc. 2020-09873 Filed 5-18-20; 8:45 am]
BILLING CODE 6712-01-P