NY State Senate Bill 2013-S1605

Senate Bill S1605

2013-2014 Legislative Session

Relates to modifying the current regulatory framework for telephone corporations and cable television companies

download bill text pdf

Archive: Last Bill Status - In Senate Committee Energy And Telecommunications Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 08, 2014	referred to energy and telecommunications
Jan 09, 2013	referred to energy and telecommunications

2013-S1605 (ACTIVE) - Details

Current Committee:: Senate Energy And Telecommunications
Law Section:: Public Service Law
Laws Affected:: Amd §5, add §92-g, Pub Serv L
Versions Introduced in 2011-2012 Legislative Session:: S5789

2013-S1605 (ACTIVE) - Summary

Relates to modifying the current regulatory framework for telephone corporations and cable television companies.

2013-S1605 (ACTIVE) - Sponsor Memo

                                BILL NUMBER:S1605

TITLE OF BILL:
An act
to amend the public service law, in relation to modifying the current
regulatory framework for telephone corporations and cable television
companies to better reflect the current realities of the
telecommunications and cable industries

PURPOSE OR GENERAL IDEA OF BILL:
To modernize and update public service law to with a focus on
telephone companies operating in the State of New York.

SUMMARY OF SPECIFIC PROVISIONS:
Section 1. Short title.

§ 2. Legislative findings and purpose.

§ 3. De-regulation of Telephone Corporations where competition exists

§ 4. Tariff requirements for retail services.

§ 5. Network Technology

§ 6. Severability.

§ 7. Effective date.

JUSTIFICATION:
Pervasive competition for communications services that are provided by
telephone corporations subject to regulation by the public service
commission has been firmly established in New York. In large part
that competition is provided by fully "facilities-based" companies
that utilize their own networks to provide service rather than
relying on the networks of incumbent wireline telephone corporations;
and fully facilities-based competition is supplemented by competition
from providers that utilize some incumbent facilities but that rely
in substantial part on their own facilities. In large part that
competition is provided through the use of modes and technologies
other than those traditionally used to provide wireline telephone
service ("intermodal competition"). Facilities-based, intermodal
competition extends to the full range of services provided to both
business and residence customers. Sound public policy favors allowing
competition, rather than regulation, to set the prices and other
terms and conditions of service.

PRIOR LEGISLATIVE HISTORY:
2011-2012: S5789 - REFERRED TO ENERGY AND TELECOMMUNICATIONS

FISCAL IMPLICATIONS: None to the state.

EFFECTIVE DATE:
This act shall take effect immediately.

2013-S1605 (ACTIVE) - Bill Text download pdf

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  1605

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                               (PREFILED)

                             January 9, 2013
                               ___________

Introduced  by  Sen. MAZIARZ -- read twice and ordered printed, and when
  printed to be committed to the Committee on  Energy  and  Telecommuni-
  cations

AN  ACT  to  amend  the public service law, in relation to modifying the
  current regulatory framework  for  telephone  corporations  and  cable
  television  companies  to  better reflect the current realities of the
  telecommunications and cable industries

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1.  Short  title. This act shall be known and may be cited as
the "telecommunications reform act of 2013".
  S 2. Legislative findings and purpose. The legislature finds that:
  1. (a) Pervasive competition  for  communications  services  that  are
provided  by  telephone corporations subject to regulation by the public
service commission has been firmly established in New York.
  (b) In large part competition is provided by fully  "facilities-based"
companies that utilize their own networks to provide service rather than
relying  on  the  networks of incumbent wireline telephone corporations;
and fully facilities-based competition is  supplemented  by  competition
from  providers  that utilize some incumbent facilities but that rely in
substantial part on their own facilities.
  (c) In large part competition is provided through the use of modes and
technologies other than those traditionally  used  to  provide  wireline
telephone service ("intermodal competition").
  (d) Pervasive, facilities-based, intermodal competition extends to the
full range of services provided to both business and residential custom-
ers.
  (e) Sound public policy favors allowing competition, rather than regu-
lation, to set the prices and other terms and conditions of service.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD04948-01-3

S. 1605                             2

  2.  Intermodal  competitors  are to a large extent able to offer their
services free of regulation by the public service commission,  and  this
gives them a competitive advantage over regulated telephone corporations
that  is not based on superior price, quality, or reputation, but simply
on differential regulation.
  3.  (a) The public service law does not adequately reflect the current
realities of the market for the services provided by regulated telephone
corporations, and regulatory reform is therefore necessary  and  desira-
ble.
  (b)  The  pervasive,  facilities-based,  intermodal  competition  that
exists today is sufficient to ensure that the prices and other terms and
conditions of the full range of services provided by  traditional  tele-
phone  corporations remain just and reasonable without the necessity for
detailed regulation.
  (c) The current regulatory scheme for traditional  wireline  telephone
corporations  impairs  rather  than  facilitates competition by imposing
asymmmetrical burdens upon such corporations.
  (d)  Significant  deregulation  of  traditional   wireline   telephone
services  is  necessary  and appropriate to ensure fair competition on a
level playing field, and thus to maximize the public benefits created by
competition.
  (e) Accordingly, it is the intent of the legislature to  significantly
reduce  the  regulatory  burdens  that  the law currently imposes on the
services provided by telephone corporations subject to the  commission's
jurisdiction.
  4.  (a)  Various provisions of current law generally require telephone
corporations to  set  forth  prices  and  other  information  concerning
certain   services   that   they  offer  in  published  "schedules"  (or
"tariffs"), generally require changes in such tariffs be filed with  the
public  service  commission  a  specified  number of days prior to their
effective date, and generally give the commission power to disapprove or
suspend the effectiveness of such schedules.
  (b) Such requirements impose an  administrative  burden  on  regulated
companies, slow the introduction of innovative new services, and inhibit
rapid  changes in price and other terms and conditions of service offer-
ings in response to market conditions.
  (c) Intermodal providers that offer services to end-user customers  in
competition  with  regulated  telephone  corporations  are generally not
subject to such requirements.
  (d) As a result, such requirements impose an unfair  and  asymmetrical
competitive  burden  upon telephone corporations that are subject to the
commission's jurisdiction.
  (e) Accordingly, it would be consistent with the  public  interest  to
relieve  telephone  corporations  of  such  requirements with respect to
services offered primarily to end-user customers.
  5. (a) Allowing competing service providers to  offer  services  using
the technologies of their choice encourages competition, investment, the
adoption of innovative new technologies, and technological diversity.
  (b)  Accordingly,  it  would be consistent with the public interest to
preclude the commission from  prohibiting  telephone  corporations  from
utilizing,  or from requiring telephone corporations to utilize, partic-
ular transport, switching, distribution, or other  technologies  in  the
provision of their services.
  S  3.  Section  5 of the public service law is amended by adding a new
subdivision 7 to read as follows:

S. 1605                             3

  7. NOTWITHSTANDING ANY OTHER PROVISION OF LAW, NO  PROVISION  OF  THIS
CHAPTER, AND NO REGULATION, ORDER OR SETTLEMENT ADOPTED PURSUANT TO THIS
CHAPTER,  SHALL  APPLY  TO  ANY TELEPHONE CORPORATION IN ANY EXCHANGE IN
WHICH THERE ARE AT LEAST TWO PROVIDERS OFFERING VOICE SERVICES TO RETAIL
RESIDENTIAL CUSTOMERS USING ANY TECHNOLOGY, INCLUDING BUT NOT LIMITED TO
PROVIDERS OF COMMERCIAL MOBILE SERVICE AS DEFINED IN 47 U.S.C.  S 332(D)
AND  PROVIDERS OF VOICE OVER INTERNET PROTOCOL SERVICE; PROVIDED, HOWEV-
ER, THAT NOTHING IN THIS SUBDIVISION SHALL BE INTERPRETED TO  GRANT  THE
COMMISSION  ANY  AUTHORITY  THAT  IT DID NOT HAVE PRIOR TO THE EFFECTIVE
DATE THEREOF; AND PROVIDED FURTHER  THAT  NOTHING  IN  THIS  SUBDIVISION
AFFECTS:
  (A) THE COMMISSION'S AUTHORITY UNDER ARTICLE ELEVEN OF THIS CHAPTER;
  (B) ANY DUTIES IMPOSED UPON THE COMMISSION BY FEDERAL LAW;
  (C)  THE  APPLICABILITY  OF,  AND  ANY  AUTHORITY OF THE COMMISSION TO
IMPLEMENT OR ENFORCE, ANY LAW, RULE, TARIFF, OR REGULATION GOVERNING THE
RIGHTS, DUTIES OR OBLIGATIONS OF ANY PARTY RELATING  TO  INTERCONNECTION
OR  CARRIER-TO-CARRIER  SERVICES, INCLUDING ANY AUTHORITY OF THE COMMIS-
SION TO ENFORCE ANY RIGHTS, DUTIES, OR OBLIGATIONS UNDER  47  U.S.C.  SS
251 AND 252;
  (D)  THE  COMMISSION'S  EXISTING JURISDICTION OVER THE LEVEL OF INTRA-
STATE SWITCHED ACCESS RATES CHARGED BY  A  LOCAL  EXCHANGE  TELECOMMUNI-
CATIONS COMPANY;
  (E) THE APPLICABILITY OR ENFORCEMENT OF CONSUMER PROTECTION AND UNFAIR
OR DECEPTIVE TRADE PRACTICES LAWS THAT APPLY GENERALLY TO THE CONDUCT OF
BUSINESS IN THE STATE;
  (F)  THE  COMMISSION'S  EXISTING AUTHORITY TO REQUIRE TELEPHONE CORPO-
RATIONS TO SUBMIT REPORTS OF MAJOR NETWORK OUTAGES;
  (G) THE COMMISSION'S EXISTING AUTHORITY TO IMPOSE AND ENFORCE REQUIRE-
MENTS RELATED TO TELEPHONE RELAY SERVICE OR EMERGENCY CALLING (911/E911)
SERVICE;
  (H) THE COMMISSION'S EXISTING AUTHORITY TO IMPOSE AND ENFORCE REQUIRE-
MENTS RELATED TO CHANGES IN A CUSTOMER'S SERVICE  PROVIDER  WITHOUT  THE
CUSTOMER'S CONSENT;
  (I)  THE  COMMISSION'S  EXISTING  AUTHORITY  WITH RESPECT TO TELEPHONE
RELAY SERVICE;
  (J) THE COMMISSION'S EXISTING AUTHORITY TO  REQUIRE  THE  OFFERING  OF
LIFELINE SERVICE AT A DISCOUNT, PROVIDED FURTHER THAT ANY TECHNOLOGY MAY
BE  USED  TO  SATISFY  LIFELINE OBLIGATIONS WITHOUT OTHERWISE SUBJECTING
LIFELINE SERVICES TO ANY GREATER REGULATION THAN  NON-LIFELINE  SERVICES
PROVIDED USING THAT TECHNOLOGY; OR
  (K)  THE  CORPORATION'S  STATUS  AS  A TELEPHONE CORPORATION UNDER THE
TRANSPORTATION CORPORATIONS LAW.
  S 4. The public service law is amended by adding a new section 92-g to
read as follows:
  S 92-G. TARIFF OR SCHEDULE FOR RETAIL SERVICES.  1.    NOTWITHSTANDING
ANY  OTHER  PROVISION OF THIS CHAPTER, OR ANY REGULATION OR ORDER ISSUED
BY THE COMMISSION PURSUANT TO THIS CHAPTER, ON OR  AFTER  THE  EFFECTIVE
DATE OF THIS SECTION, NO TELEPHONE CORPORATION SHALL BE REQUIRED TO: (A)
PREPARE,  MAINTAIN,  ISSUE,  OR  FILE  WITH THE COMMISSION ANY TARIFF OR
SCHEDULE, OR STATEMENT OR DESCRIPTION OF ANY KIND, OF THE RATES OR OTHER
TERMS AND CONDITIONS OF ANY OF ITS RETAIL SERVICES; OR
  (B) PROVIDE NOTICE TO OR OBTAIN APPROVAL FROM THE COMMISSION  FOR  ANY
TARIFF,  SCHEDULE,  RATE,  TERM,  OR  CONDITION  APPLICABLE  TO A RETAIL
SERVICE.
  2. ANY TARIFF OR SCHEDULE FOR RETAIL SERVICES  FILED  BY  A  TELEPHONE
CORPORATION PRIOR TO THE EFFECTIVE DATE OF THIS SECTION MAY BE WITHDRAWN

S. 1605                             4

AT  ANY TIME AFTER SUCH DATE UPON THIRTY DAYS' NOTICE TO THE COMMISSION,
BUT SHALL REMAIN IN EFFECT UNTIL SUCH WITHDRAWAL.
  S  5.  Section  5 of the public service law is amended by adding a new
subdivision 8 to read as follows:
  8. THE COMMISSION SHALL HAVE NO AUTHORITY  TO  REQUIRE  ANY  TELEPHONE
CORPORATION  TO  USE,  OR  TO  PROHIBIT SUCH CORPORATION FROM USING, ANY
PARTICULAR TRANSPORT, DISTRIBUTION, SWITCHING, OR OTHER  TECHNOLOGY  FOR
THE  PROVISION  OF  ITS  SERVICES.  THE SELECTION OF APPROPRIATE NETWORK
TECHNOLOGIES SHALL LIE WITHIN THE DISCRETION  OF  THE  TELEPHONE  CORPO-
RATION.
  S  6. Severability. If any provision of this act or its application to
any person or circumstance is held invalid,  this  invalidity  does  not
affect  other  provisions  or applications of this act that can be given
effect without the invalid provision or application, and to this end the
provisions of this act are declared to be severable.
  S 7. This act shall take effect immediately.

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