THE COST OF FCC RMD NON-COMPLIANCE

Assessing the Business Impact of Filing Failures

THE STAKES

Failure to maintain a fully compliant Robocall Mitigation Database (RMD) certification is an existential business threat. The consequences are not minor administrative penalties; they are catastrophic and immediate.

If the FCC's Enforcement Bureau removes your company from the RMD Portal (https://fccprod.servicenowservices.com/rmd), every downstream provider in the United States is legally required to block 100% of your traffic.

This is not a theoretical risk. This is a mandatory blocking order (47 CFR § 64.6305(g)) that takes effect two business days after a Removal Order is published (FCC 23-18, ¶58). There is no grace period and no appeal process that pauses this shutdown.

THE 48-HOUR SHUTDOWN

When the FCC Enforcement Bureau issues a Removal Order, it triggers a cascade of events that guarantees a complete cessation of your business operations.

Within 48 hours, every intermediate provider and voice service provider in the U.S. must identify and cease accepting all traffic from your entity.

This obligation is also placed on your downstream partners; they must block you to protect themselves from FCC enforcement action (FCC 23-18, ¶57). This ensures 100% compliance with the block.

The immediate business impact:

  • 100% Revenue Loss: All outbound calls fail, halting all revenue-generating services.
  • Operational Failure: All inbound calls fail, cutting off customer support, sales, and internal operations.
  • Financial Insolvency: While revenue drops to zero, fixed costs—payroll, vendor contracts, facility expenses—continue, creating an immediate cash-flow crisis.

For most providers, this is a 72-96 hour timeline to total business failure.

PATHWAYS TO REMOVAL

The FCC is actively pursuing RMD non-compliance through two primary enforcement paths.

1. Expedited Removal (10-Day Cure Period) This path targets "facially deficient" filings. These are obvious errors the FCC can identify, often through automated means.

  • Triggers: Blank or placeholder mitigation descriptions, or the use of generic boilerplate text that fails to describe specific reasonable steps.
  • Process: The FCC issues a 10-calendar-day notice to cure the defect. If it is not perfectly remediated within that window, removal is immediate and non-negotiable (FCC 23-18, ¶59-64).
  • Precedent: In December 2024, the FCC targeted 2,411 providers in a single mass action for these very issues (DA 24-1235), signaling a shift to mass enforcement.

2. Standard Removal (Substantive Deficiencies) These are the hidden compliance bombs in an otherwise "approved" filing.

  • Invalid STIR/SHAKEN Exemptions: Relying on outdated justifications (e.g., inability to get an SPC token) that are no longer valid under current STI-GA policies.
  • Failure to Update: Any material change to your STIR/SHAKEN status, mitigation program, or contact information must be updated in the RMD within 10 business days (47 CFR § 64.6305(d)). A missed update is a direct violation.
  • Inadequate Mitigation Program: A deficient Know Your Customer (KYC) process or a slow response to Traceback Requests is considered evidence that your certified mitigation program is not effective, justifying removal.

AGGRESSIVE FINANCIAL PENALTIES

Separate from removal, the FCC adopted substantial forfeitures for RMD violations in November 2024 (FCC 24-135).

These penalties are assessed as "continuing violations," meaning they accrue per day until corrected.

  • False or Inaccurate Information:

    • $10,000 per day
    • Capped at a statutory maximum of $183,718 for non-common carriers.

  • Failure to Update Within 10 Business Days:

    • $1,000 per day
    • Capped at a statutory maximum of $183,718.

A single, uncorrected filing error discovered 60 days after the fact can result in a six-figure fine, compounding the financial crisis of a potential shutdown.

THE RE-FILING TRAP (THE EXISTENTIAL THREAT)

The most critical and least understood consequence of RMD non-compliance is this: removal is effectively permanent.

You cannot simply correct your filing and resume operations.

Removal Orders explicitly prohibit the provider from re-filing in the Robocall Mitigation Database. To even be considered for re-entry, the provider must obtain explicit, written consent from both the Wireline Competition Bureau and the Enforcement Bureau (DA 25-851, ¶4).

There is no timeline for this review. It could take 6, 18, or 24 months—if consent is granted at all.

During this entire period, your company remains 100% blocked nationwide, your revenue remains at zero, and your customers are forced to migrate to competitors. You cannot recover from RMD removal; you can only prevent it.