Communications Daily is a service of Warren Communications News.
Several Bills Waiting

NY Legislative Debate Expected After State Drops Net Neutrality From Budget

New York lawmakers are ready to move forward on net neutrality bills, after language to codify limits on state procurement didn’t make the final cut of the FY 2020 budget passed Sunday, their offices said Monday. Striking open-internet rules from the budget sets up a public debate on net neutrality in a state where Democrats with a political trifecta have introduced at least five bills.

Sign up for a free preview to unlock the rest of this article

Communications Daily is required reading for senior executives at top telecom corporations, law firms, lobbying organizations, associations and government agencies (including the FCC). Join them today!

Earlier budget drafts would have put into law the 2018 executive order by Gov. Andrew Cuomo (D) restricting state contracts to ISPs that follow open-internet principles (see 1901300034). That “was not in the enacted budget, but the Governor’s Executive Order remains in effect,” a New York Budget Division spokesperson emailed Monday. New York's leading the state attorneys general lawsuit challenging the FCC order at the U.S. Court of Appeals for the D.C. Circuit.

Assemblymember Pat Fahy (D) is one net neutrality supporter who favored pulling the issue from the budget. Fahy, who introduced a state procurement bill (AB-2432) (see 1801310058), “is leery of the practice of including policy items in the budget and generally tries to avoid including non-fiscal items in the budget,” emailed her legislative director, Jake Egloff. “We will be looking to pass a somewhat more expansive version of what Governor Cuomo proposed in the executive budget. The executive proposal only deals with executive agencies, whereas our bill applies to all sub-state governments, including localities and school districts.”

A stand-alone net neutrality bill by Sen. Brad Hoylman (D) will come before the Senate Energy and Telecommunications Committee, his spokesperson said. S-2263 is a revival of Hoylman’s bill last year proposing comprehensive net neutrality rules like the California law (see 1901240002).

Cutting net neutrality rules from the budget would have been disappointing if Cuomo hadn’t last year issued an EO, emailed Public Utility Law Project of New York Executive Director Richard Berkley. Postponing enaction “did not harm any New Yorkers or erode the State's position of protecting Net Neutrality” but means the legislature, industry and citizens “will now have the opportunity to debate … in a public manner.” Berkley predicted a “stimulating” discussion that will “provide inspiration to other states that have not yet followed New York and other states fighting to protect” net neutrality and increase pressure on the federal government to act. Verizon, Charter Communications, the New York State Telecommunications Association and national industry associations didn’t comment.

Net neutrality bills remain in play in multiple other states with Democratic trifectas. The Rhode Island Senate Commerce Committee plans a hearing Tuesday on SB-40 placing limits on government procurement (see 1902260053). The Maine Joint Energy, Utilities and Technology Committee scheduled an April 10 hearing on LD-1364 to restrict state spending (see 1903210022). Colorado’s SB-78, restricting distribution of state broadband funding, is getting closer to the finish line after last month passing the Senate and a House committee (see 1903280058). Hawaii’s procurement measure (SB-253) passed the Senate last month (see 1903050066) and awaits a House hearing.