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Time Running Out

New York Bill Seeks to Prevent Regulation of VoIP

The New York Senate passed legislation that would prevent state regulation of VoIP services. The bill, introduced by GOP Sen. George Maziarz, might not be going anywhere because the state Assembly session ended Monday, his legislative aide told us. Maziarz is working with the Assembly to try to pass the bill in potential extended session, the aide said. S-5769 passed Monday.

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The bill would direct the state’s Public Service Commission to refrain from regulating the rates, terms and conditions on retail VoIP services that are delivered over the Internet to encourage the deployment of new technologies. The legislation wouldn’t affect the assessment of E-911 fees, telecom relay service fees or federal Universal Service Fund fees on VoIP services. State consumer protections would still apply to VoIP services. The PSC declined to comment.

There are several unresolved issues in the Legislature, so it’s possible that an extended session would be granted, a Maziarz aide said. The bill had bipartisan support in the Republican-controlled Senate and Maziarz said he’s working with the bill’s sponsor in the Democrat-controlled Assembly, Democrat James Brennan. The bill was just introduced in the Assembly’s Corporations, Authorities and Commissions Committee last week, said Lorrie Smith, Brennan’s legislative director. The committee closed down and doesn’t expect to meet again this session, she said. Though it appears that the bill isn’t going anywhere as of now, the legislature can always change its mind and open up committees, though that’s unusual, she said.

The bill is especially important for rural consumers in upstate New York, said Glenn Richards, executive director of the VON Coalition. The proposal would enable a consistent and predictable policy framework and thus help VoIP innovation grow in the state, he said. He noted that the following states have exempted VoIP from state regulation: Maine, Michigan, Texas, Wisconsin, Illinois, Massachusetts, Rhode Island, Maryland, Virginia, Delaware, New Jersey, Florida, Ohio, Georgia, Indiana, Pennsylvania, Missouri, Tennessee, Kentucky, Alabama and the District of Columbia.