FCC says Treasury loan and upcoming spectrum auction will cover most rip-and-replace costs; one provider remains short

WASHINGTON — The Federal Communications Commission has borrowed money from the U.S. Treasury to finish the Secure and Trusted Communications Reimbursement Program — commonly called the “rip and replace” program — and plans to repay the loan using proceeds from an upcoming AWS‑3 spectrum auction, FCC Chairman Brendan Carr told the House Appropriations subcommittee.

The program, created to remove Chinese‑made Huawei, ZTE and other equipment considered national‑security risks from U.S. networks, had an earlier appropriation and later a funding shortfall. "Congress initially appropriated initial sum of roughly $3,000,000,000... We've now borrowed funding from the treasury to to complete that process. We will repay, treasury with proceeds from that AWS 3 spectrum auction," Carr said.

Why it matters: Carr said…