S T A T E   O F   N E W   Y O R K
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                                 8229--A

                       2011-2012 Regular Sessions

                          I N  A S S E M B L Y

                              June 7, 2011
                               ___________

Introduced  by  M. of A. MORELLE, P. RIVERA -- read once and referred to
  the Committee on Corporations, Authorities and Commissions  --  recom-
  mitted  to  the Committee on Corporations, Authorities and Commissions
  in accordance with Assembly Rule 3, sec. 2  --  committee  discharged,
  bill  amended,  ordered  reprinted  as amended and recommitted to said
  committee

AN ACT to amend the public service law, in relation  to  implementing  a
  new  framework  for  the  regulation  of  telecommunications and cable
  services

  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 modernization act of 2012".
  S 2. Section 5 of the public service law is amended by adding four new
subdivisions 7, 8, 9 and 10 to read as follows:
  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 WIRE CENTER IN
WHICH THE CORPORATION CERTIFIES TO THE COMMISSION 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 SERVICES AS DEFINED IN 47 U.S.C. S 332(D) AND PROVIDERS OF  VOICE
OVER  INTERNET PROTOCOL SERVICE; PROVIDED, HOWEVER, THAT NOTHING IN THIS
SECTION SHALL BE INTERPRETED TO GRANT THE COMMISSION ANY AUTHORITY  THAT
IT  DID  NOT  HAVE  PRIOR TO THE EFFECTIVE DATE OF THIS SUBDIVISION; AND
PROVIDED FURTHER THAT NOTHING IN THIS SECTION AFFECTS THE APPLICABILITY,
IMPLEMENTATION, OR ENFORCEMENT IN SUCH AREAS OF:
  (A) THE RIGHTS OR OBLIGATIONS OF ANY CABLE TELEVISION  COMPANIES  WITH
RESPECT  TO THEIR OPERATION OF ANY CABLE TELEVISION SYSTEM UNDER ARTICLE
ELEVEN OF THIS CHAPTER;
  (B) ANY DUTIES IMPOSED UPON THE COMMISSION BY THE FEDERAL LAW;
  (C) ANY ENTITY'S RIGHTS, DUTIES OR OBLIGATIONS UNDER 47 U.S.C. SS  251
AND 252;

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

                      [ ] is old law to be omitted.
                                                           LBD11933-03-1

A. 8229--A                          2

  (D)  REQUIREMENTS  RELATING TO THE LEVEL OF INTRASTATE SWITCHED ACCESS
RATES CHARGED BY A LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY;
  (E) REQUIREMENTS RELATED TO TELEPHONE RELAY SERVICE OR EMERGENCY CALL-
ING (911/E911) SERVICE;
  (F)  REQUIREMENTS  RELATED TO CHANGES IN A CUSTOMER'S SERVICE PROVIDER
WITHOUT THE CUSTOMER'S CONSENT;
  (G) REQUIREMENTS RELATED TO TELEPHONE RELAY SERVICE;
  (H) REQUIREMENTS RELATED TO 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;
  (I) CONSUMER PROTECTION AND UNFAIR OR DECEPTIVE TRADE  PRACTICES  LAWS
THAT APPLY GENERALLY TO THE CONDUCT OF BUSINESS IN THE STATE; OR
  (J)  THE  CORPORATION'S  STATUS  AND RIGHTS AS A TELEPHONE CORPORATION
UNDER THE TRANSPORTATION CORPORATIONS LAW.
  8. 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 WIRE CENTER NOT
COVERED  BY  SUBDIVISION  SEVEN OF THIS SECTION; PROVIDED, HOWEVER, THAT
NOTHING IN THIS SECTION SHALL BE INTERPRETED TO GRANT THE COMMISSION ANY
AUTHORITY THAT IT DID NOT HAVE PRIOR  TO  THE  EFFECTIVE  DATE  OF  THIS
SUBDIVISION;  AND  PROVIDED FURTHER THAT NOTHING IN THIS SECTION AFFECTS
THE APPLICABILITY, IMPLEMENTATION, OR ENFORCEMENT IN SUCH AREAS OF:
  (A)  THE  RIGHTS,  OBLIGATIONS,  DUTIES,  AND  REQUIREMENTS  THAT  ARE
REFERRED  TO  IN PARAGRAPHS (A) THROUGH (J) OF SUBDIVISION SEVEN OF THIS
SECTION; OR
  (B) ANY REQUIREMENT THAT THE CORPORATION PROVIDE A STAND ALONE  OFFER-
ING  OF  A BASIC LOCAL EXCHANGE ACCESS LINE PLUS LOCAL USAGE TO RESIDEN-
TIAL CUSTOMERS IN THE WIRE CENTER ON REASONABLE TERMS AND CONDITIONS.
  9. NOTWITHSTANDING ANY OTHER PROVISION OF LAW,  THE  COMMISSION  SHALL
HAVE  NO  AUTHORITY  OVER  ANY SERVICE, CLASS OF SERVICES, OR TECHNOLOGY
OFFERED OR USED BY A TELEPHONE CORPORATION AS DEFINED IN SECTION TWO  OF
THIS ARTICLE, OR BY A CABLE TELEVISION COMPANY UNDER SECTION TWO HUNDRED
TWELVE  OF THIS CHAPTER, OR ANY OTHER PROVIDER OF VOICE COMMUNICATION OR
VIDEO PROGRAMMING DISTRIBUTION SERVICES, THAT IT DID NOT ACTIVELY  REGU-
LATE  AS  OF  JANUARY  FIRST, TWO THOUSAND TWELVE.  THE COMMISSION SHALL
HAVE NO AUTHORITY TO PROHIBIT, REQUIRE OR OTHERWISE DIRECT ANY  ENTITY'S
CHOICE OF TECHNOLOGY FOR ANY PURPOSE.
  10.  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  SOLELY  WITHIN THE DISCRETION OF THE TELEPHONE
CORPORATION.
  S 3. Section 2 of the public service law is amended by adding two  new
subdivisions 19-a and 19-b to read as follows:
  19-A.  THE  TERM  "VOICE  OVER  INTERNET  PROTOCOL  SERVICE"  OR "VOIP
SERVICE" WHEN USED IN THIS CHAPTER MEANS ANY SERVICE THAT:  (A)  ENABLES
REAL-TIME  TWO-WAY VOICE COMMUNICATIONS THAT ORIGINATE FROM OR TERMINATE
TO THE USER'S LOCATION IN INTERNET PROTOCOL (IP) OR ANY SUCCESSOR PROTO-
COL; (B) USES A BROADBAND CONNECTION FROM THE USER'S LOCATION;  AND  (C)
PERMITS  USERS  GENERALLY  TO RECEIVE CALLS THAT ORIGINATE ON THE PUBLIC
SWITCHED TELEPHONE NETWORK AND TO TERMINATE CALLS TO THE PUBLIC SWITCHED
TELEPHONE NETWORK.

A. 8229--A                          3

  19-B. THE TERM  "INTERNET  PROTOCOL-ENABLED  SERVICE"  OR  "IP-ENABLED
SERVICE"  WHEN  USED  IN  THIS  CHAPTER MEANS, EXCEPT AS PROVIDED IN THE
DEFINITION OF  "VOICE-OVER-INTERNET  PROTOCOL  SERVICE"  IN  SUBDIVISION
NINETEEN-A  OF  THIS  SECTION ANY SERVICE, CAPABILITY, FUNCTIONALITY, OR
APPLICATION  PROVIDED  USING  INTERNET  PROTOCOL  (IP), OR ANY SUCCESSOR
PROTOCOL, THAT ENABLES AN END USER TO SEND OR RECEIVE A COMMUNICATION IN
IP FORMAT, OR ANY SUCCESSOR FORMAT, REGARDLESS OF WHETHER  THE  COMMUNI-
CATION IS VOICE, DATA OR VIDEO.
  S  4.  Paragraph d of subdivision 1 of section 5 of the public service
law, as amended by chapter 155 of the laws of 1970, is amended  to  read
as follows:
  d. To every telephone line which lies wholly within the state and that
part  within  the  state  of New York of every telephone line which lies
partly within and partly without the state and to the persons or  corpo-
rations  owning, leasing or operating any such telephone line.  NOTWITH-
STANDING ANY OTHER PROVISION OF LAW TO THE CONTRARY, NEITHER THE COMMIS-
SION, THE DEPARTMENT, NOR ANY OTHER DEPARTMENT OR AGENCY OF THIS  STATE,
OR  ANY  POLITICAL SUBDIVISION THEREOF, SHALL HAVE AUTHORITY TO REGULATE
THE ENTRY, RATES OR OTHER TERMS OF SERVICE OF VOICE OVER INTERNET PROTO-
COL SERVICE OR IP-ENABLED SERVICE. PROVIDED, HOWEVER,  THAT  NOTHING  IN
THIS SECTION SHALL BE CONSTRUED TO DIVEST THE COMMISSION OF ITS AUTHORI-
TY  WITH RESPECT TO THE RATES, TERMS OR CONDITIONS OF ANY LOCAL EXCHANGE
TELEPHONE SERVICE OVER WHICH THE COMMISSION EXERCISED ITS LAWFUL  JURIS-
DICTION  PRIOR TO JANUARY FIRST, TWO THOUSAND TWELVE. PROVIDED, FURTHER,
THAT NOTHING IN THIS SECTION SHALL AFFECT THE AUTHORITY OF THE STATE  OR
ITS  AGENCIES  TO  ENFORCE  SUCH REQUIREMENTS AS ARE OTHERWISE EXPRESSLY
PROVIDED FOR BY FEDERAL LAW, INCLUDING, BUT NOT LIMITED  TO,  CONNECTION
TO  911  FACILITIES,  THE  COLLECTION OF ENHANCED 911 FEES, TELECOMMUNI-
CATIONS RELAY SERVICE FEES, OR FEDERAL UNIVERSAL SERVICE  FUND  FEES  ON
VOICE  OVER  INTERNET PROTOCOL SERVICES THAT MAY BE DETERMINED TO APPLY,
OR BE CONSTRUED TO (A) MODIFY  OR  AFFECT  THE  RIGHTS,  OBLIGATIONS  OR
AUTHORITY OF ANY ENTITY, INCLUDING BUT NOT LIMITED TO THE DEPARTMENT, TO
ACT  PURSUANT  TO, OR ENFORCE THE PROVISIONS OF 47 U.S.C. 251, 47 U.S.C.
252, ANY APPLICABLE TARIFF, OR ANY STATE LAW, RULE, REGULATION OR  ORDER
RELATED  TO  WHOLESALE  RIGHTS,  DUTIES  AND  OBLIGATIONS, INCLUDING THE
RIGHTS, DUTIES, AND OBLIGATIONS OF LOCAL EXCHANGE CARRIERS TO  INTERCON-
NECT  AND  EXCHANGE VOICE TRAFFIC; (B) MODIFY OR AFFECT THE AUTHORITY OF
THE DEPARTMENT TO IMPLEMENT, CARRY OUT,  AND  ENFORCE  SUCH  PROVISIONS,
RIGHTS, DUTIES, OBLIGATIONS OR TARIFF THROUGH ARBITRATION PROCEEDINGS OR
OTHER  AVAILABLE MECHANISMS AND PROCEDURES; OR (C) AFFECT THE PAYMENT OF
SWITCHED NETWORK ACCESS RATES OR OTHER INTERCARRIER COMPENSATION  RATES,
AS  APPLICABLE. NOTHING HEREIN SHALL BE CONSTRUED TO AFFECT THE APPLICA-
TION OR ENFORCEMENT OF OTHER STATUES OR REGULATIONS THAT APPLY GENERALLY
TO THE CONDUCT OF BUSINESS IN THE STATE, INCLUDING CONSUMER  PROTECTION,
OR  UNFAIR  OR DECEPTIVE TRADE PRACTICES RULES OF GENERAL APPLICABILITY.
NOTHING IN THIS SECTION SHALL AFFECT THE  AUTHORITY  OF  THE  COMMISSION
OVER  CABLE  TELEVISION  COMPANIES  OR  ANY OTHER ENTITY THAT OPERATES A
CABLE TELEVISION SYSTEM PURSUANT TO ARTICLE ELEVEN OF THIS CHAPTER.
  S 5. Subdivision 1 of section 90 of the public service law, as amended
by chapter 414 of the laws of 1981, is amended to read as follows:
  1. The provisions of this article  shall  apply  to  communication  by
telegraph or telephone between one point and another within the state of
New  York  and to every telegraph corporation and telephone corporation.
NOTWITHSTANDING ANY OTHER PROVISION OF LAW TO THE CONTRARY, NEITHER  THE
COMMISSION,  THE  DEPARTMENT, NOR ANY OTHER DEPARTMENT OR AGENCY OF THIS
STATE, OR ANY POLITICAL SUBDIVISION THEREOF,  SHALL  HAVE  AUTHORITY  TO

A. 8229--A                          4

REGULATE THE ENTRY, RATES OR OTHER TERMS OF SERVICE OF VOICE OVER INTER-
NET  PROTOCOL  SERVICE  OR  IP-ENABLED  SERVICE. PROVIDED, HOWEVER, THAT
NOTHING IN THIS SECTION SHALL BE CONSTRUED TO DIVEST THE  COMMISSION  OF
ITS  AUTHORITY  WITH  RESPECT  TO  THE RATES, TERMS OR CONDITIONS OF ANY
LOCAL EXCHANGE TELEPHONE SERVICE OVER WHICH THE COMMISSION EXERCISED ITS
LAWFUL  JURISDICTION  PRIOR  TO  JANUARY  FIRST,  TWO  THOUSAND  TWELVE.
PROVIDED FURTHER, HOWEVER, THAT NOTHING IN THIS SECTION SHALL AFFECT THE
AUTHORITY  OF  THE STATE OR ITS AGENCIES TO ENFORCE SUCH REQUIREMENTS AS
ARE OTHERWISE EXPRESSLY PROVIDED FOR BY FEDERAL LAW, INCLUDING, BUT  NOT
LIMITED TO, CONNECTION TO 911 FACILITIES, THE COLLECTION OF ENHANCED 911
FEES,  TELECOMMUNICATIONS  RELAY  SERVICE  FEES,  OR  FEDERAL  UNIVERSAL
SERVICE FUND FEES ON VOICE OVER INTERNET PROTOCOL SERVICES THAT  MAY  BE
DETERMINED TO APPLY, OR BE CONSTRUED TO (A) MODIFY OR AFFECT THE RIGHTS,
OBLIGATIONS OR AUTHORITY OF ANY ENTITY, INCLUDING BUT NOT LIMITED TO THE
DEPARTMENT,  TO  ACT PURSUANT TO, OR ENFORCE THE PROVISIONS OF 47 U.S.C.
251, 47 U.S.C. 252, ANY APPLICABLE TARIFF, OR ANY STATE LAW, RULE, REGU-
LATION OR ORDER RELATED TO WHOLESALE  RIGHTS,  DUTIES  AND  OBLIGATIONS,
INCLUDING THE RIGHTS, DUTIES, AND OBLIGATIONS OF LOCAL EXCHANGE CARRIERS
TO  INTERCONNECT  AND  EXCHANGE  VOICE TRAFFIC; (B) MODIFY OR AFFECT THE
AUTHORITY OF THE DEPARTMENT TO IMPLEMENT, CARRY OUT,  AND  ENFORCE  SUCH
PROVISIONS,  RIGHTS,  DUTIES,  OBLIGATIONS OR TARIFF THROUGH ARBITRATION
PROCEEDINGS OR OTHER AVAILABLE MECHANISMS AND PROCEDURES; OR (C)  AFFECT
THE  PAYMENT  OF  SWITCHED  NETWORK  ACCESS  RATES OR OTHER INTERCARRIER
COMPENSATION RATES, AS APPLICABLE. NOTHING HEREIN SHALL BE CONSTRUED  TO
AFFECT  THE  APPLICATION OR ENFORCEMENT OF OTHER STATUTES OR REGULATIONS
THAT APPLY GENERALLY TO THE CONDUCT OF BUSINESS IN THE STATE,  INCLUDING
CONSUMER  PROTECTION,  OR  UNFAIR  OR DECEPTIVE TRADE PRACTICES RULES OF
GENERAL APPLICABILITY. NOTHING IN THIS SECTION SHALL AFFECT THE AUTHORI-
TY OF THE COMMISSION OVER CABLE TELEVISION COMPANIES OR ANY OTHER ENTITY
THAT OPERATES A CABLE TELEVISION SYSTEM PURSUANT TO  ARTICLE  ELEVEN  OF
THIS CHAPTER.
  S 6. The public service law is amended by adding a new section 92-g to
read as follows:
  S  92-G. DE-TARIFFING OF RETAIL SERVICES. 1. NOTWITHSTANDING ANY OTHER
PROVISION OF THIS CHAPTER, OR ANY REGULATION  OR  ORDER  ISSUED  BY  THE
COMMISSION  PURSUANT TO THIS CHAPTER, ON AND 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 OFFERING OF A
RETAIL SERVICE, ANY DISCONTINUATION OF SUCH AN OFFERING, OR  ANY  CHANGE
IN  THE  TERMS  OR  CONDITIONS APPLICABLE TO SUCH AN OFFERING, INCLUDING
PRICE.
  2. NOTWITHSTANDING ANY OTHER PROVISION OF THIS CHAPTER, OR  ANY  REGU-
LATION  OR  ORDER  ISSUED BY THE COMMISSION PURSUANT TO THIS CHAPTER, ON
AND AFTER THE EFFECTIVE DATE OF THIS SECTION THE COMMISSION  SHALL  HAVE
NO  JURISDICTION TO IMPOSE REQUIREMENTS ON TELEPHONE CORPORATIONS RELAT-
ING TO THE TERMS AND CONDITIONS, INCLUDING  PRICE,  ON  WHICH  THEY  MAY
OFFER RETAIL SERVICES.
  3.  ANY  TARIFF  OR  SCHEDULE FOR RETAIL SERVICES FILED BY A TELEPHONE
CORPORATION PRIOR TO THE EFFECTIVE DATE OF THIS SECTION MAY BE WITHDRAWN
AT ANY TIME AFTER SUCH DATE UPON TEN DAYS' NOTICE TO THE COMMISSION, BUT
SHALL REMAIN IN EFFECT UNTIL SUCH WITHDRAWAL.
  S 7. This act shall take effect immediately.