Overview
FAR 4.2102 implements the "Section 889" prohibitions, which forbid federal agencies from procuring certain "covered" telecommunications and video surveillance equipment or services, and prevent the government from contracting with any entity that uses such equipment or services in its own operations.
Key Rules
- Procurement Ban (Part A): Effective August 13, 2019, agencies are prohibited from procuring or obtaining any equipment, system, or service that uses covered telecommunications equipment or services as a substantial or essential component.
- Entity Use Ban (Part B): Effective August 13, 2020, agencies are prohibited from contracting with (or renewing/extending a contract with) any entity that uses covered telecommunications equipment or services, regardless of whether that use is in performance of a federal contract.
- Exceptions: Prohibitions do not apply to third-party connectivity services (e.g., backhaul, roaming, or interconnection) or equipment that cannot route/redirect user data traffic or permit visibility into data packets.
- Contracting Officer Restrictions: COs are strictly prohibited from awarding contracts or exercising options that violate these rules unless a specific waiver (under 4.2104) is granted.
- SAM Integration: Prohibited entities and their known subsidiaries/affiliates are recorded in the System for Award Management (SAM) to assist in enforcement and compliance.
Practical Implications
- Company-Wide Compliance: Unlike many FAR requirements, the Part B "use" prohibition applies to a contractor’s entire business infrastructure, meaning a contractor cannot use prohibited technology in their commercial or private offices even if those systems are never used for government work.
- Supply Chain Audits: Government contractors must perform extensive internal due diligence and supply chain mapping to certify that no covered telecommunications equipment (typically from specific Chinese manufacturers like Huawei or ZTE) is present within their corporate environment.