The National Customs Brokers & Forwarders Association of America filed a petition with the Federal Communications Commission on Dec. 1 asking the agency to reconsider its treatment of a customs broker as a potential "responsible party" for radio frequency device import compliance. The FCC updated its regulations to remove Form 740 filing requirements for RF device imports, but retained compliance requirements and said a customs broker can be a "responsible party" for import compliance (see 1711010011). The new rules impose "unreasonable responsibilities on customs brokers," the NCBFAA said.
Federal Communications Commission (FCC)
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The Federal Communications Commission (FCC) is the U.S. federal government’s regulatory agency for the majority of telecommunications activity within the country. The FCC oversees radio, television, telephone, satellite, and cable communications, and its primary statutory goal is to expand U.S. citizens’ access to telecommunications services.
The Commission is funded by industry regulatory fees, and is organized into 7 bureaus:
- Consumer & Governmental Affairs
- Enforcement
- Media
- Space
- Wireless Telecommunications
- Wireline Competition
- Public Safety and Homeland Security
As an agency, the FCC receives its high-level directives from Congressional legislation and is empowered by that legislation to establish legal rules the industry must follow.
Latest News from the FCC
The National Customs Brokers& Forwarders Association of America posted a summary of the Federal Communications Commission's recent final rule on importing radiofrequency equipment (see 1711010011). The agency ended its Form 740 filing requirements for RF devices and made other changes to import compliance rules earlier this month.
The Federal Communications Commission will end its Form 740 filing requirements for imported radiofrequency devices as of Nov. 2, the agency said in a notice. While the Form 740 will no longer be required, the agency will continue to require compliance with rules for importing RF devices, it said. The FCC "retained the requirement that there must be an entity that assumes responsibility for the compliance of the device and modified the rules to ensure the existence and identity (and a domestic presence under the new [Supplier’s Declaration of Conformity (SDoC)] rules), of such a responsible party." The FCC approved the changes in July (see 1707130045).
The Federal Communications Commission Office of Engineering and Technology will extend through Dec. 30 suspensions of information collection requirements tied to FCC Form 740 and importation of radio frequency devices, it said in an order. The earlier waivers were to expire Sept. 30, the office said. While the agency adopted proposals to eliminate the requirement for Form 740 filings (see 1706280065), those changes haven't gone into effect. The National Customs Brokers & Forwarders Association of America recently mentioned several concerns on the issue during a meeting with the agency (see 1709150004).
The National Customs Brokers & Forwarders Association of America met with Federal Communications Commission officials on Sept. 12 to discuss the role of customs brokers for imported radio frequency devices, the NCBFAA said in an ex parte filing with the agency. The trade group has a number of concerns related to the agency's elimination of the FCC's Form 740 filing requirements for importing RF devices (see 1709110023) and what the NCBFAA sees as new compliance verification burdens for customs brokers (see 1706280065). With the elimination of Form 740, brokers now worry that "if no other party makes 'a determination,' the broker may be liable as one of the parties responsible for the determination, even though the broker does not have sufficient knowledge of the product to make that determination.
Representatives from the National Customs Brokers & Forwarders Association of America are scheduled to meet with the Federal Communications Commission this week to outline some concerns related to the agency's elimination of the FCC's Form 740 filing requirements for imported radio frequency devices (see 1707130045). While the NCBFAA is pleased to see the Form 740 requirements go away, there's some worry over what's seen as new liabilities for customs brokers included in the FCC's order, said Alan Klestadt, a lawyer with Grunfeld Desiderio, who represents the NCBFAA. “The new regulations talk about customs brokers being responsible to validate FCC compliance,” Klestadt said during the NCBFAA Government Affairs Conference on Sept. 11. “There isn't a person in this room who's qualified to do that, and I say that without any disrespect. There's just no way.” Naming customs brokers as “one of the parties with responsibility to validate” marks a “huge additional burden,” he said. Klestadt said the NCBFAA is working to push back against "creep" by various agencies looking to use customs brokers to provide information about imports.
Makers of radio frequency devices can still put on traditional Federal Communications Commission logos, even though the regulator last month agreed to allow e-labeling as part of an overhaul of equipment authorization rules (see 1706280065 and 1707130045), an official said July 20. FCC Office of Engineering and Technology Chief Julius Knapp and Rashmi Doshi, chief of the FCC Lab, appeared on a Telecommunications Industry Association webinar (here). Doshi said e-labeling isn't a mandate. The order goes to some length to recognize that “the FCC logo is useful, even though we felt that making it mandatory was too much of a burden,” Doshi said. The label is widely recognized outside the U.S., he said. The Department of Commerce and the Office of the U.S. Trade Representative are working with other countries on common approaches to e-labeling, Doshi said. The Asia-Pacific Economic Cooperation has scheduled a conference on the topic for next month, he said. “We’ve already talked to Canada on some of the things that they’re doing.” Knapp said the U.S. is at the “forefront” internationally. “When I go to places like Europe or Asia, we’re always trying to inform people about what we’ve done in the hope that they will follow,” Knapp said.
The Federal Communications Commission will end its requirement to file FCC Form 740 import declarations for radio frequency (RF) devices with CBP at the time of entry, it said in a July 13 press release (here). Elimination of the filing requirement, as expected (see 1706280065), will take effect upon publication of the FCC's rule in the Federal Register. The FCC has waived the requirement to file Form 740 since July 2016 to facilitate the transition to electronic filing in ACE (see 1510200035).
The Federal Communications Commission will consider at its July 13 meeting permanently ending the Form 740 requirements for importing radio frequency devices, the agency said (here). "This requirement has become increasingly outdated and burdensome in light of current importation and marketing practices, the information otherwise collected by CBP itself, and the wealth of information available online," the FCC said. "The Order would also modify Commission rules to clarify the compliance requirements related to imported devices and to provide additional flexibility in certain cases." The FCC order needs approval by the agency and could still be modified. If approved, it would go into effect following publication in the Federal Register.
CBP is expected to provide additional information soon about the delay to the deployment of post-release capabilities in ACE (see 1706270049), Stuart Schmidt, compliance manager at UPS Supply Chain Solutions, said during a June 27 webinar. "We do not know the new date yet," Schmidt said. "My understanding is that there will be a Federal Register notice that will be published hopefully Friday announcing more information about this." Stuart said the delay is the result of some problems with "false positives" found while testing. "They elected to delay the deployment rather than deploy and install some quick fixes," he said. "So they felt that was the right thing to do and I think I agree with that decision." CBP didn't comment.