Bill Text: NY A04594 | 2023-2024 | General Assembly | Amended


Bill Title: 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.

Spectrum: Partisan Bill (Democrat 14-0)

Status: (Introduced) 2024-05-23 - print number 4594a [A04594 Detail]

Download: New_York-2023-A04594-Amended.html



                STATE OF NEW YORK
        ________________________________________________________________________

                                         4594--A

                               2023-2024 Regular Sessions

                   IN ASSEMBLY

                                    February 17, 2023
                                       ___________

        Introduced  by  M.  of  A.  BICHOTTE HERMELYN,  COLTON, HYNDMAN, LAVINE,
          ZEBROWSKI, HEVESI, SIMON,  BRONSON,  GUNTHER,  AUBRY,  PEOPLES-STOKES,
          HUNTER  --  Multi-Sponsored  by  --  M.  of A. THIELE -- read once and
          referred to the Committee on Corporations, Authorities and Commissions
          -- recommitted to  the  Committee  on  Corporations,  Authorities  and
          Commissions  in  accordance  with Assembly Rule 3, sec. 2 -- committee
          discharged, bill amended, ordered reprinted as amended and recommitted
          to said committee

        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

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. This act shall be known and may be cited as  the  "NYS  Net
     2  Neutrality Protection Act".
     3    §  2.  Subdivision 1 of section 5 of the public service law is amended
     4  by adding a new paragraph j to read as follows:
     5    j. To every broadband internet line which lies wholly within the state
     6  and that part within the state of New York of every  broadband  internet
     7  line  which  lies  partly within and partly without the state and to the
     8  persons or corporations owning, leasing or operating any such  broadband
     9  internet line.
    10    §  3.  Section  5 of the public service law is amended by adding a new
    11  subdivision 7 to read as follows:
    12    7. The commission shall require any person engaged in the provision of
    13  broadband internet access service in New York state  to  report  to  the
    14  commission, and publicly disclose annually, accurate information regard-
    15  ing  the network management practices, performance, and commercial terms
    16  of its broadband internet access services sufficient  for  consumers  to
    17  make  informed  choices  regarding use of such services and for content,

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD07720-02-4

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     1  application, service, and device providers to develop, market, and main-
     2  tain internet offerings.
     3    §  4. Subdivision 1 of section 165 of the state finance law is amended
     4  by adding three new paragraphs f, g and h to read as follows:
     5    f. A "net neutral source of internet services" shall mean an  internet
     6  service provider who adheres to the principles of net neutrality.
     7    g.  A  "non-net  neutral  source  of  internet services" shall mean an
     8  internet service provider who violates any  of  the  principles  of  net
     9  neutrality.
    10    h.  "The  principles of net neutrality" shall mean the rules and regu-
    11  lations under the open internet report and order on remand,  declaratory
    12  ruling,  and  order  by  the  federal communications commission released
    13  March twelfth, two thousand fifteen, GN Docket No. 14-28.
    14    § 5. Section 165 of the state finance law is amended by adding  a  new
    15  subdivision 9 to read as follows:
    16    9. Prohibition on purchase of internet services from a non-net neutral
    17  source of internet services.
    18    a.  (i)  With respect to contracts described in subparagraphs (ii) and
    19  (iii) of this paragraph, and in accordance with such subparagraphs,  the
    20  state  and  any  governmental  agency or political subdivision or public
    21  benefit corporation or municipality of the state shall not contract  for
    22  the  supply  of internet services with any contractor who does not agree
    23  to stipulate to the following, if there is another contractor  who  will
    24  contract to supply internet services of comparable quality at a compara-
    25  ble  price or cost, the contractor and any individual or legal entity in
    26  which the contractor holds a ten percent or greater  ownership  interest
    27  and  any  individual or legal entity that holds a ten percent or greater
    28  ownership interest in the contractor shall make  lawful  steps  in  good
    29  faith  to  conduct  any  business  operations as a net neutral source of
    30  internet services.
    31    (ii) In the case of contracts let by a competitive  process,  whenever
    32  the  responsive  and responsible offerer having the lowest price or best
    33  value offer has not agreed to stipulate to the conditions set  forth  in
    34  this  subdivision and another responsive and responsible offerer who has
    35  agreed to stipulate to such conditions  has  submitted  an  offer  shall
    36  determine that the contract be awarded to the lowest price or best value
    37  offer  for  internet  services  from  a  net  neutral source of internet
    38  services.
    39    (iii) In the case of contracts let by other than a competitive process
    40  internet services involving an expenditure of an amount greater than the
    41  discretionary buying threshold  as  specified  in  section  one  hundred
    42  sixty-three of this article, the contracting entity shall not award to a
    43  proposed  contractor  who  has not agreed to stipulate to the conditions
    44  set forth in this subdivision unless  the  entity  seeking  to  use  the
    45  internet  services  determines  that the internet services are necessary
    46  for the entity to perform its functions and there is no other  responsi-
    47  ble  contractor  who will supply internet services of comparable quality
    48  at a comparable price. Such determinations shall be made in writing  and
    49  shall be public documents.
    50    b. Upon receiving information that a contractor who has made the stip-
    51  ulation  required  by  this  subdivision  is  in  violation thereof, the
    52  contracting entity shall review such information and offer the  contrac-
    53  tor  an  opportunity  to respond. If the contracting entity finds that a
    54  violation has occurred, it shall take such action as may be  appropriate
    55  and  provided  for  by law, rule or contract, including, but not limited

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     1  to,  imposing  sanctions,  seeking  compliance,  recovering  damages  or
     2  declaring the contractor in default.
     3    c.  As used in this subdivision, the term "contract" shall not include
     4  contracts with  governmental  and  non-profit  organizations,  contracts
     5  awarded  pursuant  to  emergency  procurement  procedures  or contracts,
     6  resolutions, indentures, declarations  of  trust  or  other  instruments
     7  authorizing  or  relating to the authorization, issuance, award, sale or
     8  purchase of bonds, certificates of indebtedness, notes or  other  fiscal
     9  obligations,  provided  that  the  policies of this subdivision shall be
    10  considered when selecting a contractor to  provide  financial  or  legal
    11  advice, and when selecting managing underwriters in connection with such
    12  activities.
    13    d. The provisions of this subdivision shall not apply to contracts for
    14  which  the state or other contracting entity receives funds administered
    15  by the United States, except to the extent congress has directed to  not
    16  withhold  funds  from  states  and  localities  that choose to implement
    17  selective purchasing policies based on an agreement to comply  with  the
    18  principles  of  net neutrality, or to the extent that such funds are not
    19  otherwise withheld by congress.
    20    § 6. This act shall take effect immediately.
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