What is NDAA Compliance?
In short, the John S. McCain National Defense Authorization Act (NDAA) for Fiscal Year 2019 was signed into law in August of 2018 and subsequently NDAA 2020 for this year. The law, specifically Section 889, prohibits federal agencies, their contractors and grant or loan recipients from procuring or using “telecommunications and video surveillance equipment or services” from specific Chinese companies as a “substantial or essential component of any system, or as critical technology as part of any system.” The NDAA ban includes telecommunications equipment produced by Huawei Technologies Company or ZTE Corporation, as well as video surveillance and telecommunications equipment produced by Hytera Communications Corporation, Hangzhou Hikvision Digital Technology Company, or Dahua Technology Company. Therefore, for equipment to be NDAA Compliant, products must be free of any hardware, chipsets, SoC, or other materials from any of the companies listed on the Banned List.
There are 3 Essential Parts to Section 889:
- Procurement: This bans federal agencies from purchasing or procuring covered equipment or services
- Blacklist Clause: This bans federal agencies from doing business with companies that use covered equipment or services
- Funding: This prohibits Federal money or ‘funding’ to be used to purchase covered equipment or services