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New York’s Low-Income Broadband Plan May Head to SCOTUS

An approved measure was supposed to require Internet providers to offer basic broadband interconnectivity to low-income residents for $15 a month. But a consortium of providers and telecom firms argue that should be the FCC’s job.

A New York plan to mandate special reduced broadband Internet rates for low-income customers that hasn't yet been enforced may head to the U.S. Supreme Court as a consortium of Internet providers and telecom firms continues its fight against the legislation.

Passed in 2021, the measure was supposed to require Internet providers to offer basic broadband interconnectivity to low-income New Yorkers for $15 per month.

Lawmakers at the time referred to a state comptroller's report that found 1 million New Yorkers, or 13.8 percent, had no broadband.

But industry groups, led by the state Telecommunications Association as well as several national organizations, went to court, arguing it was an area that should be left to the Federal Communications Commission.

In April, a federal court concluded that the state could regulate Internet prices. But the industry appealed that ruling, seeking review by the U.S. Supreme Court.

There's no guarantee the Supreme Court will hear the case regarding the Affordable Broadband for All act. But if it does, it could settle some long-standing questions, and fill in some gaps, about how much authority individual states have when it comes to regulating Internet services. These questions center on the carriers, or services that bring the Internet into people's homes, not on the content that comes with social media or video streaming services.

Until recently, regulators in New York and elsewhere viewed Internet rates as the province of the FCC. Moreover, the Trump-era FCC ruled that Internet was an information service rather than a broadcast or telecommunications service. That led regulatory authorities to conclude that it should be regulated the same as radio or TV broadcaster stations.

That changed, however, when the Biden administration appointed new leadership at the FCC. The agency's new chairwoman, Jessica Rosenworcel, has said she would consider the Affordable Broadband Act to be lawful, if there were a complaint about it.

"We all assumed that this was a federal issue for many years. Many people argued this at the FCC," said Corbin Barthold, Internet policy counsel at TechFreedom.

Barthold's trade group generally opposes government interference in the Internet, including price controls. The group would likely file a brief in support of the industry if it got to the Supreme Court, he said.

For now, New York has continued to hold off enforcement of the Affordable Broadband Act given that it's been tied up in court.

California is the only other state that has attempted to regulate Internet prices, Corbin said. He believes the industry would rather issues like Internet prices be regulated on the federal level rather than having a 50-state patchwork.

All of this isn't to say there are no low-income programs that exist. Spectrum cable, for example, offers basic $25-a-month service for families eligible for certain school lunch programs and those using Supplemental Social Security.



(c)2024 the Times Union (Albany, N.Y.) Distributed by Tribune Content Agency, LLC.
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