H.R.906 - Foreign Adversary Communications Transparency Act (119th Congress)
Summary
H.R. 906, the Foreign Adversary Communications Transparency Act, directs the Federal Communications Commission (FCC) to publish a list of entities holding FCC authorizations, licenses, or grants of authority that have certain levels of foreign ownership by a covered entity. This includes entities with equity or voting interests required to be reported to the FCC, or those over which an appropriate national security agency has determined a covered entity exerts control.
The bill requires the FCC to issue rules to obtain information to identify these entities and update the list annually. The Act aims to increase transparency regarding foreign influence in U.S. communications infrastructure.
The Act defines key terms such as "appropriate national security agency," "Commission," "covered country," and "covered entity" to clarify the scope and application of the legislation.
Expected Effects
The primary effect of this bill will be increased transparency regarding foreign ownership and control of entities holding FCC licenses and authorizations. This could lead to greater scrutiny of these entities and potentially influence future FCC decisions regarding licenses and authorizations.
It may also prompt companies to restructure their ownership to avoid being listed, or to face increased public and regulatory attention. The FCC will be required to dedicate resources to compiling and maintaining the list.
Potential Benefits
- Increased transparency regarding foreign influence in U.S. communications.
- Enhanced national security by identifying potential risks associated with foreign-controlled entities.
- Informed decision-making by the FCC regarding licenses and authorizations.
- Greater public awareness of the ownership structure of communications entities.
- Potential for improved oversight and regulation of foreign-controlled entities.
Most Benefited Areas:
Potential Disadvantages
- Potential for increased administrative burden on the FCC.
- Risk of unintended consequences, such as discouraging foreign investment in U.S. communications infrastructure.
- Possible delays in the FCC's licensing and authorization processes.
- Potential for inaccurate or incomplete information on the published list.
- Concerns about due process and fairness for entities included on the list.
Constitutional Alignment
The bill appears to align with the Commerce Clause (Article I, Section 8, Clause 3) of the U.S. Constitution, which grants Congress the power to regulate commerce with foreign nations and among the several states. By requiring transparency in foreign ownership of communications entities, the bill aims to protect national security and ensure fair competition in the communications sector.
While the bill does not directly infringe upon any specific constitutional rights, concerns about due process (Fifth Amendment) could arise if entities are unfairly or inaccurately listed, potentially harming their reputation or business interests. The bill does not appear to violate the First Amendment.
Overall, the bill seems to operate within the constitutional framework, particularly concerning Congress's power to regulate commerce and provide for national security.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).