Bill Text: NY A10721 | 2019-2020 | General Assembly | Introduced


Bill Title: Directs the public service commission to establish quality of service standards, minimum performance levels, customer-specific credits, and reporting requirements that shall apply to each internet service provider.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2020-07-01 - referred to corporations, authorities and commissions [A10721 Detail]

Download: New_York-2019-A10721-Introduced.html



                STATE OF NEW YORK
        ________________________________________________________________________

                                          10721

                   IN ASSEMBLY

                                      July 1, 2020
                                       ___________

        Introduced  by  COMMITTEE  ON  RULES -- (at request of M. of A. Otis) --
          read once and referred to the Committee on  Corporations,  Authorities
          and Commissions

        AN ACT to amend the public service law, in relation to quality standards
          for internet service providers

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

     1    Section 1. The article heading of article 11  of  the  public  service
     2  law,  as  added by chapter 83 of the laws of 1995, is amended to read as
     3  follows:
     4                                 ARTICLE 11
     5       PROVISIONS RELATING TO CABLE TELEVISION COMPANIES AND INTERNET
     6                              SERVICE PROVIDERS
     7    § 2. Section 212 of the public service law is amended by adding a  new
     8  subdivision 15 to read as follows:
     9    15.  "Internet  service  provider"  shall mean any person, business or
    10  organization qualified to do business in this state that provides  indi-
    11  viduals,  corporations, or other entities with the ability to connect to
    12  the internet.
    13    § 3. The public service law is amended by adding a new section 231  to
    14  read as follows:
    15    §  231.  Service  quality  standards  for  internet service providers;
    16  penalties. 1. The commission shall establish quality of  service  stand-
    17  ards, minimum performance levels, customer-specific credits, and report-
    18  ing requirements that shall apply to each internet service provider.
    19    a.  Service  standards shall include, but not be limited to: (i) meas-
    20  ures relating to repairs for service outages  within  forty-eight  hours
    21  unless  a customer opts otherwise; (ii) a requirement that new installa-
    22  tion orders be completed within five days unless a subscriber or custom-
    23  er opts otherwise;  (iii)  a  requirement  that  each  internet  service
    24  provider  develop  procedures  to  prioritize service to subscribers and
    25  customers who  are  special-needs  subscribers  and  customers  and  for
    26  customers  who  utilize  a medical alert system or communications equip-
    27  ment, in conjunction with  medical  devices,  to  monitor  and  transmit

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD15629-01-0

        A. 10721                            2

     1  medical  data  to  their  treating  physicians'  medical  sites;  (iv) a
     2  requirement that each internet service provider report  to  the  commis-
     3  sion,  on  an  annual basis, the number of subscribers and customers who
     4  report service issues or outages, and the percentage of those cases that
     5  are  resolved, and (v) a requirement that each internet service provider
     6  provides the internet service speeds advertised to and paid for by  each
     7  subscriber and customer.
     8    b.  Minimum  performance  levels  for  each  service standard shall be
     9  developed to ensure that each internet service  provider  in  the  state
    10  provides  high  quality subscriber and customer service and high quality
    11  technical service to all their subscribers and customers.
    12    c. The commission shall establish a schedule of subscriber and custom-
    13  er credits or rebates, which shall be awarded to subscribers and custom-
    14  ers that experience service outage conditions and for  missed  installa-
    15  tion  appointments.  A  system  of graduated credits or rebates shall be
    16  established for those subscribers and  customers  whose  service  outage
    17  condition  was  not cleared within forty-eight hours or installation was
    18  not completed within five business days unless a subscriber or  customer
    19  opts otherwise.
    20    2.  a. Every internet service provider shall adhere to every provision
    21  of this section and every order or regulation adopted under authority of
    22  this section so long as the same shall be in force.
    23    b. (i) The commission shall have  the  authority  to  assess  a  civil
    24  penalty  against each internet service provider and the directors, offi-
    25  cers, agents and employees thereof subject to the  jurisdiction,  super-
    26  vision, or regulation pursuant to this section in an amount as set forth
    27  in  this  subdivision.  In  determining  the amount of any penalty to be
    28  assessed pursuant to this subdivision, the  commission  shall  consider:
    29  (A)  the seriousness of the violation for which a penalty is sought; (B)
    30  the nature and extent of any previous  violations  for  which  penalties
    31  have  been assessed against the internet service provider or such direc-
    32  tors, officers, agents and employees thereof; (C) the gross revenues and
    33  financial status of the internet service provider; and  (D)  such  other
    34  factors  as  the commission may deem appropriate and relevant. The reme-
    35  dies provided in this paragraph are in addition to  any  other  remedies
    36  provided by law.
    37    (ii)  Whenever  the  commission has reason to believe that an internet
    38  service provider and such  directors,  officers,  agents  and  employees
    39  thereof  may be subject to imposition of a civil penalty as set forth in
    40  this subdivision, it shall provide notification and provide an  opportu-
    41  nity  to  be  heard  to  such  internet service provider or person. Such
    42  notice shall include, but shall not be limited to: (A) the  date  and  a
    43  brief  description of the facts and nature of each act or failure to act
    44  for which such penalty is proposed; (B) a list of  each  statute,  regu-
    45  lation  or  order that the commission alleges has been violated; (C) the
    46  amount of each penalty that the commission proposes to assess;  and  (D)
    47  the  option to request a hearing to demonstrate why the proposed penalty
    48  or penalties should  not  be  assessed  against  such  internet  service
    49  provider or person.
    50    c.  Any  internet service provider that violates any provision of this
    51  section, regulation or order adopted under authority of this section  so
    52  long  as  the  same  shall be in force, or who fails to provide safe and
    53  adequate service shall forfeit a sum not exceeding the  greater  of  one
    54  hundred  thousand  dollars  or  two one-hundredths of one percent of the
    55  annual intrastate  gross  operating  revenue  of  the  internet  service
    56  provider,  constituting  a civil penalty for each and every offense and,

        A. 10721                            3

     1  in the case of a continuing violation, each day shall be deemed a  sepa-
     2  rate and distinct offense.
     3    d.  Notwithstanding the provisions of paragraph c of this subdivision,
     4  any such internet service provider that violates  a  provision  of  this
     5  section,  or any order or regulation adopted under the authority of this
     6  section specifically for the protection of human safety or prevention of
     7  significant damage to real property, including, but not limited to death
     8  or personal injury and damage to real property in excess of fifty  thou-
     9  sand  dollars, shall forfeit a sum not to exceed the greater of: (i) two
    10  hundred fifty thousand dollars or three one-hundredths of one percent of
    11  the annual intrastate gross operating revenue of  the  internet  service
    12  provider,  whichever  is  greater, constituting a civil penalty for each
    13  separate and distinct offense, provided, however, that for  purposes  of
    14  this  subparagraph,  each  day  of  a  continuing violation shall not be
    15  deemed a separate and distinct offense. The total period of a continuing
    16  violation, as well as  every  distinct  violation,  shall  be  similarly
    17  treated  as  a  separate and distinct offense for purposes of this para-
    18  graph; or (ii) the maximum  forfeiture  determined  in  accordance  with
    19  paragraph c of this subdivision.
    20    e. Notwithstanding the provisions of paragraphs c and d of this subdi-
    21  vision,  an  internet service provider that violates a provision of this
    22  section, or any order or regulation  adopted  under  authority  of  this
    23  section,  designed  to protect the overall reliability and continuity of
    24  service, including but not limited to the restoration of service follow-
    25  ing a major outage event or emergency, shall forfeit a sum not to exceed
    26  the greater of: (i) five hundred thousand dollars or four one-hundredths
    27  of one percent of the annual intrastate gross operating revenue  of  the
    28  internet  service  provider,  whichever is greater, constituting a civil
    29  penalty for each separate and distinct offense; provided, however,  that
    30  for  purposes  of  this  subparagraph each day of a continuing violation
    31  shall not be deemed a separate and distinct offense. The total period of
    32  a continuing violation, as well as every  distinct  violation  shall  be
    33  similarly  treated  as  a  separate and distinct offense for purposes of
    34  this subparagraph; or
    35    (ii) the maximum forfeiture determined in accordance with paragraph  c
    36  of this subdivision.
    37    f.  Any  director, officer, agent, or employee of any internet service
    38  provider determined by the commission to have violated the provisions of
    39  paragraph c, d, or e of this subdivision, and who knowingly  violates  a
    40  provision of this section, regulation or an order adopted under authori-
    41  ty  of  this  section so long as the same shall be in force, including a
    42  failure to provide safe and adequate service, shall forfeit a sum not to
    43  exceed one hundred thousand dollars constituting  a  civil  penalty  for
    44  each  and every offense and, in the case of a continuing violation, each
    45  day shall be deemed a separate and distinct offense.
    46    g. Any such assessment may  be  compromised  or  discontinued  by  the
    47  commission.  All moneys recovered pursuant to this subdivision, together
    48  with the costs thereof, shall be remitted to, or for the benefit of, the
    49  subscribers or customers of the internet service provider in a manner to
    50  be determined by the commission.
    51    h. Upon a failure by an internet service provider to remit any penalty
    52  assessed by the commission pursuant to this subdivision, the commission,
    53  through its counsel or other  appropriate  designee,  may  institute  an
    54  action or special proceeding to collect the penalty in a court of compe-
    55  tent jurisdiction.

        A. 10721                            4

     1    i. Any payment made by an internet service provider and the directors,
     2  officers,  agents and employees thereof, as a result of an assessment as
     3  provided in this subdivision, and the cost of  litigation  and  investi-
     4  gation  related  to  any  such assessment, shall not be recoverable from
     5  subscribers or customers.
     6    j. In construing and enforcing the provisions of this section relating
     7  to  penalties, the act of any director, officer, agent or employee of an
     8  internet service provider acting within the scope of his or her official
     9  duties or employment shall be deemed to be  the  act  of  such  internet
    10  service provider.
    11    § 4. Severability clause. If any clause, sentence, paragraph, subdivi-
    12  sion,  section  or  part  of  this act shall be adjudged by any court of
    13  competent jurisdiction to be invalid, such judgment  shall  not  affect,
    14  impair,  or  invalidate  the remainder thereof, but shall be confined in
    15  its operation to the clause, sentence, paragraph,  subdivision,  section
    16  or part thereof directly involved in the controversy in which such judg-
    17  ment shall have been rendered. It is hereby declared to be the intent of
    18  the  legislature  that  this  act  would  have been enacted even if such
    19  invalid provisions had not been included herein.
    20    § 5. This act shall take effect immediately.
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