Enacts the "NYS net neutrality protection act"; relates to state contracts being only with internet service providers compliant with net neutrality; prohibits the purchase of internet services from a non-net neutral source of internet services; requires certain disclosures by internet providers.
NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A7126
SPONSOR: Bichotte Hermelyn TITLE OF BILL:
An act to amend the public service law and the state finance law, in
relation to state contracts being only with internet service providers
compliant with net neutrality
PURPOSE:
To ensure that state contracts for internet services are awarded only to
providers that adhere to net neutrality principles, thereby promoting
open and fair internet access.
SUMMARY OF SPECIFIC PROVISIONS:
Section 1. Titles the act as the "NYS Net Neutrality Protection Act."
Section 2. Amends the public service law by adding a new paragraph j to
subdivision 1 of section 5. This includes broadband internet lines with-
in the state and mandates that the Public Service Commission oversee
their operations.
Section 3. Adds a new subdivision 7 to section 5 of the public service
law, requiring broadband internet providers to report and publicly
disclose information on their network management practices, performance,
and commercial terms.
Section 4. Amends section 165 of the state finance law by adding new
paragraphs f, g, and h, defining "net neutral source of internet
services," "non-net neutral source of internet services," and the "prin-
ciples of net neutrality" based on the 2015 FCC Open Internet Order.
Section 5. Adds a new subdivision 9 to section 165 of the state finance
law, prohibiting state contracts for Internet services with providers
that do not adhere to net neutrality principles. It outlines the condi-
tions for competitive and non-competitive contracts and provides for
enforcement actions in cases of violation.
Section 6. States that the act shall take effect immediately upon its
passage.
JUSTIFICATION:
Neutrality has been a core democratizing principle of the Internet since
its inception. Net Neutrality is the cornerstone idea of the worldwide
web that all internet data should be equal. Internet Service
Providers(ISP) should not be allowed to charge different companies more
or less for their data or to slow down, or block access to web sites and
services they do not like. Internet service is a telecommunications
service, no different from phone service. Phone companies, which are
often the same companies that are ISPs, cannot make the connection worse
if they do not approve of the caller on the other end of a call.
Both Freedom of Speech issues and fair competition issues arise with the
Pai FCC's decision to do away with the 2010 provisions of the law. The
Pai FCC's vote will make it easier for ISPs to change the nature of the
Internet, making some websites and services cheaper and more easily
accessible, and others harder or more expensive to access. If major
corporations could pay to get special treatment-faster speeds, more
bandwidth- start-ups would be at a disadvantage. Hence, net neutrality
protects innovation as well because without it, small business entrepre-
neurs will not survive. These small businesses constitute the majority
of the businesses in every region of the State comprising at least 90
percent of total businesses in each region.
The deregulation of the internet will lead to a multitude of issues. We
have seen this before with the deregulation of airlines and banks.
Unleashing the airlines to set their own fares and routes created over-
crowded planes, cramped seats, overstuffed luggage bins and exorbitant
fares. Deregulation of banking allowed widespread abuses that triggered
the meltdown in the financial markets in 2008 and crashed the American
Economy with reverberating effect.
LEGISLATIVE HISTORY:
05/23/24: Print number 4594a
05/23/24: Amend and recommit to corporations, authorities and commis-
sions
01/03/24: Referred to corporations, authorities and commissions
02/17/23: Referred to corporations, authorities and commissions
2021-2022: A1239 - Referred to Corporations, Authorities and Commis-
sions;
2019-2020: A.138 - Referred to Corporations, Authorities and Commis-
sions;
2017-2018: A.9057 - Referred to Corporations, Authorities and Commis-
sions
FISCAL IMPLICATIONS:
None.
SOCIAL AND COMMUNITY IMPACT:
This legislation will strengthen local communities by promoting diversi-
ty and inclusion in business ownership. Veteran-owned businesses
contribute to stable communities and enhance workforce diversity, which
is essential for robust community development.
ECONOMIC AND EMPLOYMENT IMPACT:
The bill is expected to create jobs and stimulate economic growth by
supporting veteran-owned businesses. These businesses are concentrated
in industries such as professional services, construction, and mainte-
nance, which align with the city's procurement needs.
ENVIRONMENTAL AND INFRASTRUCTURAL IMPACT:
While the primary focus of this bill is on digital, infrastructure,.it
indirectly supports environmental goals by reducing the need for phys-
ical commuting through improved internet connectivity, thereby poten-
tially lowering carbon emissions. The bill also encourages the develop-
ment of modern infrastructure that can be more energy-efficient and
sustainable.
EFFECTIVE DATE:
This act shall take effect
