BILL NUMBER: S289

SPONSOR: MAY
 
TITLE OF BILL:

An act to amend the local finance law, in relation to providing a period
of probable usefulness for broadband and related telecommunications
infrastructure

 
PURPOSE:

This bill affirmatively establishes the bonding authority of counties,
cities, towns, and villages in New York State to issue and sell bonds to
provide funds for the acquisition, construction, or replacement of
broadband and related telecommunications infrastructure.

 
SUMMARY OF PROVISIONS:

Section 1: adds a new section to local finance law to authorize munici-
pal bonding for the acquisition, construction, or replacement of broad-
band and related telecommunications infrastructure for a ten-year period
of probable usefulness (PPU).
              

Section 2: effective date.

 
JUSTIFICATION:

Access to high-speed Internet is no longer a luxury. High-speed internet
enables New Yorkers to learn, work, and play with greater flexibility
than ever -- as long as they have access to reliable service. Many New
Yorkers live without practicable access to affordable and quality
service. This is true in many rural parts of the state, where service is
often spotty or non-existent. This is also true for many low income New
Yorkers, many of whom are priced out of equitable access.

Municipal broadband networks offer a possible solution for some communi-
ties. According to the Benton Institute for Broadband and Society,
"Local communities... have collaborated with private broadband providers
to increase the choices available to their residents. Well-known strate-
gies in cities such as Chattanooga, Tennessee, and Wilson, North Caroli-
na employ municipally owned facilities to provide state-of-the-art
broadband. These models can deliver fast, effective and affordable
internet access to communities. Unlike some states, New York law allows
municipalities to establish such services. This bill will allow communi-
ties the flexibility to finance a municipal broadband model, if the
governing bodies and residents decide it is in their best interests.

 
LEGISLATIVE HISTORY:

2021-2022 - S.8904-A (May) / A.9907-A (Kelles)

 
FISCAL IMPLICATIONS:

None.

 
EFFECTIVE DATE:
Immediately.