S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   3739
 
                        2017-2018 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             January 30, 2017
                                ___________
 
 Introduced by M. of A. DINOWITZ -- read once and referred to the Commit-
   tee on Corporations, Authorities and Commissions
 
 AN  ACT  to amend the public service law, in relation to service quality
   standards, credits, reports and penalties
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  The public service law is amended by adding a new article
 12 to read as follows:
                                ARTICLE 12
    PROVISIONS RELATING TO TELEPHONE CORPORATIONS, CABLE CORPORATIONS,
             COMBINATION TELEPHONE AND CABLE CORPORATIONS AND
              VOICE OVER INTERNET PROTOCOL SERVICE PROVIDERS
 SECTION 231. DEFINITIONS.
         232. SERVICE  QUALITY  STANDARDS,  MINIMUM  PERFORMANCE  LEVELS,
                CREDITS, AND REPORTS.
         233. ADMINISTRATIVE SANCTIONS; RECOVERY OF PENALTIES.
   §  231.  DEFINITIONS. THE WORDS AND PHRASES USED IN THIS ARTICLE SHALL
 HAVE THE FOLLOWING MEANINGS:   1. "CABLE  CORPORATION"  SHALL  MEAN  ANY
 PERSON  OWNING,  CONTROLLING, OPERATING, MANAGING OR LEASING ONE OR MORE
 CABLE TELEVISION SYSTEMS WITHIN THE STATE.
   2. "CABLE TELEVISION SYSTEM" SHALL HAVE THE SAME MEANING AS SET  FORTH
 IN SECTION TWO HUNDRED TWELVE OF THIS CHAPTER.
   3.  "COMBINATION TELEPHONE AND CABLE CORPORATION" SHALL MEAN ANY TELE-
 PHONE CORPORATION OPERATING IN NEW YORK UNDER COMMON  OWNERSHIP  WITH  A
 CABLE CORPORATION OPERATING IN NEW YORK OR ANY CABLE CORPORATION OPERAT-
 ING  IN  NEW  YORK  UNDER  COMMON OWNERSHIP WITH A TELEPHONE CORPORATION
 OPERATING IN NEW YORK, OR ANY SUCCESSOR OF EITHER CORPORATION.
   4. "VOICE OVER INTERNET PROTOCOL  SERVICE  PROVIDER"  SHALL  MEAN  ANY
 PROVIDER  OF  VOICE  OVER  INTERNET  PROTOCOL  SERVICE, AS DEFINED BY 47
 C.F.R.  § 9.3.
   5. "CORE CUSTOMERS" SHALL MEAN CUSTOMERS WHO:
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD07509-02-7

 A. 3739                             2
 
   (A) DO NOT HAVE ACCESS TO WIRELINE ALTERNATIVES,
   (B) SUBSCRIBE TO LIFELINE SERVICE, OR
   (C) ARE CHARACTERIZED AS HAVING SPECIAL NEEDS.
   § 232. SERVICE QUALITY STANDARDS, MINIMUM PERFORMANCE LEVELS, CREDITS,
 AND  REPORTS.  THE  COMMISSION SHALL ESTABLISH QUALITY OF SERVICE STAND-
 ARDS, MINIMUM PERFORMANCE LEVELS, CUSTOMER-SPECIFIC CREDITS, AND REPORT-
 ING REQUIREMENTS THAT SHALL APPLY TO EACH TELEPHONE  CORPORATION,  CABLE
 CORPORATION,  COMBINATION  TELEPHONE AND CABLE CORPORATION OR VOICE OVER
 INTERNET PROTOCOL SERVICE PROVIDER.  1. SERVICE STANDARDS. SERVICE STAN-
 DARDS SHALL INCLUDE, BUT NOT BE LIMITED TO:  (A)  MEASURES  RELATING  TO
 REPAIRS  FOR  SERVICE OUTAGES WITHIN FORTY-EIGHT HOURS UNLESS A CUSTOMER
 OPTS OTHERWISE;
   (B) A REQUIREMENT THAT NEW INSTALLATION  ORDERS  BE  COMPLETED  WITHIN
 FIVE DAYS UNLESS A CUSTOMER OPTS OTHERWISE;
   (C)  A  REQUIREMENT  THAT EACH CORPORATION OR SERVICE PROVIDER DEVELOP
 PROCEDURES TO PRIORITIZE SERVICE TO CUSTOMERS WHO ARE  LIFELINE  CUSTOM-
 ERS,  WHO  ARE  SPECIAL NEEDS CUSTOMERS, AND FOR CUSTOMERS WHO UTILIZE A
 MEDICAL ALERT SYSTEM OR COMMUNICATIONS EQUIPMENT,  IN  CONJUNCTION  WITH
 MEDICAL  DEVICES, TO MONITOR AND TRANSMIT MEDICAL DATA TO THEIR TREATING
 PHYSICIANS' MEDICAL SITES.
   2. MINIMUM PERFORMANCE LEVELS. MINIMUM  PERFORMANCE  LEVELS  FOR  EACH
 SERVICE STANDARD SHALL BE DEVELOPED TO ENSURE THAT EACH TELEPHONE CORPO-
 RATION,  CABLE  CORPORATION, COMBINATION TELEPHONE AND CABLE CORPORATION
 OR VOICE OVER INTERNET PROTOCOL SERVICE PROVIDER IN  THE  STATE  PROVIDE
 HIGH  QUALITY CUSTOMER SERVICE AND HIGH QUALITY TECHNICAL SERVICE TO ALL
 THEIR CUSTOMERS.
   3. CUSTOMER CREDITS OR REBATES. THE COMMISSION SHALL ESTABLISH A SCHE-
 DULE OF CUSTOMER CREDITS OR REBATES, WHICH SHALL BE AWARDED TO CUSTOMERS
 THAT EXPERIENCE SERVICE OUTAGE CONDITIONS AND  FOR  MISSED  INSTALLATION
 APPOINTMENTS.  A  SYSTEM OF GRADUATED CREDITS OR REBATES SHALL BE ESTAB-
 LISHED FOR THOSE  CUSTOMERS  WHOSE  SERVICE  OUTAGE  CONDITION  WAS  NOT
 CLEARED WITHIN FORTY-EIGHT HOURS OR INSTALLATION WAS NOT COMPLETED WITH-
 IN FIVE BUSINESS DAYS UNLESS A CUSTOMER OPTS OTHERWISE.
   4.  SERVICE  QUALITY  MONITORING  AND  REPORTING. THE COMMISSION SHALL
 RE-ESTABLISH THE MONITORING AND MEASUREMENTS OF SERVICE QUALITY IN FORCE
 ON JANUARY FIRST, TWO THOUSAND ELEVEN  FOR  TELEPHONE  CORPORATIONS  AND
 SHALL  APPLY  THOSE  SERVICE  QUALITY STANDARDS TO EACH TELEPHONE CORPO-
 RATION, CABLE CORPORATION, COMBINATION TELEPHONE AND  CABLE  CORPORATION
 OR  VOICE  OVER  INTERNET  PROTOCOL  SERVICE PROVIDER OFFERING TELEPHONE
 SERVICES.  THE COMMISSION SHALL APPLY A UNIFORM SET  OF  STANDARDS  WHEN
 MONITORING  AND  MEASURING THE SERVICE QUALITY PROVIDED TO ALL CUSTOMERS
 AND SHALL NOT DISTINGUISH BETWEEN CORE CUSTOMERS AND NON-CORE  CUSTOMERS
 WHEN MONITORING AND MEASURING SERVICE QUALITY.
   § 233. ADMINISTRATIVE SANCTIONS; RECOVERY OF PENALTIES. 1. EVERY TELE-
 PHONE  CORPORATION,  CABLE  CORPORATION, COMBINATION TELEPHONE AND CABLE
 CORPORATION OR VOICE  OVER  INTERNET  PROTOCOL  SERVICE  PROVIDER  SHALL
 ADHERE  TO EVERY PROVISION OF THIS CHAPTER AND EVERY ORDER OR REGULATION
 ADOPTED UNDER AUTHORITY OF THIS CHAPTER SO LONG AS THE SAME SHALL BE  IN
 FORCE.
   2.  (A)  THE  COMMISSION  SHALL  HAVE  THE AUTHORITY TO ASSESS A CIVIL
 PENALTY AGAINST EACH TELEPHONE CORPORATION, CABLE CORPORATION,  COMBINA-
 TION  TELEPHONE  AND  CABLE  CORPORATION OR VOICE OVER INTERNET PROTOCOL
 SERVICE PROVIDER AND THE DIRECTORS, OFFICERS, AGENTS AND EMPLOYEES THER-
 EOF SUBJECT TO THE JURISDICTION, SUPERVISION, OR REGULATION PURSUANT  TO
 THIS  CHAPTER  IN AN AMOUNT AS SET FORTH IN THIS SECTION. IN DETERMINING
 THE AMOUNT OF ANY PENALTY TO BE ASSESSED PURSUANT TO THIS  SECTION,  THE

 A. 3739                             3
 
 COMMISSION  SHALL  CONSIDER:  (I)  THE  SERIOUSNESS OF THE VIOLATION FOR
 WHICH A PENALTY IS SOUGHT;
   (II) THE NATURE AND EXTENT OF ANY PREVIOUS VIOLATIONS FOR WHICH PENAL-
 TIES  HAVE BEEN ASSESSED AGAINST THE TELEPHONE CORPORATION, CABLE CORPO-
 RATION, COMBINATION TELEPHONE AND CABLE CORPORATION, VOICE OVER INTERNET
 PROTOCOL SERVICE  PROVIDER  OR  SUCH  DIRECTORS,  OFFICERS,  AGENTS  AND
 EMPLOYEES THEREOF;
   (III)  THE GROSS REVENUES AND FINANCIAL STATUS OF THE TELEPHONE CORPO-
 RATION, CABLE CORPORATION, COMBINATION TELEPHONE AND  CABLE  CORPORATION
 OR VOICE OVER INTERNET PROTOCOL SERVICE PROVIDER; AND
   (IV)  SUCH  OTHER  FACTORS  AS THE COMMISSION MAY DEEM APPROPRIATE AND
 RELEVANT. THE REMEDIES PROVIDED IN THIS SUBDIVISION ARE IN  ADDITION  TO
 ANY OTHER REMEDIES PROVIDED BY LAW.
   (B)  WHENEVER  THE  COMMISSION  HAS REASON TO BELIEVE THAT A TELEPHONE
 CORPORATION, CABLE CORPORATION, COMBINATION TELEPHONE AND  CABLE  CORPO-
 RATION  OR VOICE OVER INTERNET PROTOCOL SERVICE PROVIDER AND SUCH DIREC-
 TORS, OFFICERS, AGENTS AND EMPLOYEES THEREOF MAY BE SUBJECT  TO  IMPOSI-
 TION  OF  A  CIVIL  PENALTY  AS  SET FORTH IN THIS SUBDIVISION, IT SHALL
 PROVIDE NOTIFICATION AND PROVIDE AN OPPORTUNITY  TO  BE  HEARD  TO  SUCH
 CORPORATION, SERVICE PROVIDER, OR PERSON. SUCH NOTICE SHALL INCLUDE, BUT
 SHALL  NOT  BE  LIMITED  TO: (I) THE DATE AND A BRIEF DESCRIPTION OF THE
 FACTS AND NATURE OF EACH ACT OR FAILURE TO ACT FOR WHICH SUCH PENALTY IS
 PROPOSED; (II) A LIST OF EACH STATUTE,  REGULATION  OR  ORDER  THAT  THE
 COMMISSION  ALLEGES  HAS BEEN VIOLATED; (III) THE AMOUNT OF EACH PENALTY
 THAT THE COMMISSION PROPOSES TO ASSESS; AND (IV) THE OPTION TO REQUEST A
 HEARING TO DEMONSTRATE WHY THE PROPOSED PENALTY OR PENALTIES SHOULD  NOT
 BE ASSESSED AGAINST SUCH CORPORATION, SERVICE PROVIDER, OR PERSON.
   3. ANY TELEPHONE CORPORATION, CABLE CORPORATION, COMBINATION TELEPHONE
 AND  CABLE  CORPORATION OR VOICE OVER INTERNET PROTOCOL SERVICE PROVIDER
 THAT VIOLATES A PROVISION  OF  THIS  CHAPTER,  REGULATION  OR  AN  ORDER
 ADOPTED  UNDER AUTHORITY OF THIS CHAPTER SO LONG AS THE SAME SHALL BE IN
 FORCE, OR WHO FAILS TO PROVIDE SAFE AND ADEQUATE SERVICE SHALL FORFEIT A
 SUM NOT EXCEEDING THE GREATER OF ONE HUNDRED  THOUSAND  DOLLARS  OR  TWO
 ONE-HUNDREDTHS  OF  ONE PERCENT OF THE ANNUAL INTRASTATE GROSS OPERATING
 REVENUE OF THE CORPORATION, CONSTITUTING A CIVIL PENALTY  FOR  EACH  AND
 EVERY OFFENSE AND, IN THE CASE OF A CONTINUING VIOLATION, EACH DAY SHALL
 BE DEEMED A SEPARATE AND DISTINCT OFFENSE.
   4.  NOTWITHSTANDING  THE  PROVISIONS  OF  SUBDIVISION  THREE  OF  THIS
 SECTION, ANY SUCH TELEPHONE CORPORATION, CABLE CORPORATION,  COMBINATION
 TELEPHONE  AND CABLE CORPORATION OR VOICE OVER INTERNET PROTOCOL SERVICE
 PROVIDER THAT VIOLATES A PROVISION OF THIS CHAPTER, OR AN ORDER OR REGU-
 LATION ADOPTED UNDER THE AUTHORITY OF THIS CHAPTER SPECIFICALLY FOR  THE
 PROTECTION  OF  HUMAN SAFETY OR PREVENTION OF SIGNIFICANT DAMAGE TO REAL
 PROPERTY, INCLUDING, BUT NOT LIMITED TO: (A) A DEATH OR PERSONAL INJURY;
 OR (B) DAMAGE TO REAL PROPERTY IN  EXCESS  OF  FIFTY  THOUSAND  DOLLARS,
 FORFEIT A SUM NOT TO EXCEED THE GREATER OF:  (I) TWO HUNDRED FIFTY THOU-
 SAND DOLLARS OR THREE ONE-HUNDREDTHS OF ONE PERCENT OF THE ANNUAL INTRA-
 STATE  GROSS OPERATING REVENUE OF THE CORPORATION, WHICHEVER IS GREATER,
 CONSTITUTING A CIVIL PENALTY FOR EACH  SEPARATE  AND  DISTINCT  OFFENSE;
 PROVIDED,  HOWEVER,  THAT  FOR PURPOSES OF THIS PARAGRAPH, EACH DAY OF A
 CONTINUING VIOLATION  SHALL  NOT  BE  DEEMED  A  SEPARATE  AND  DISTINCT
 OFFENSE.  THE  TOTAL  PERIOD OF A CONTINUING VIOLATION, AS WELL AS EVERY
 DISTINCT VIOLATION,  SHALL  BE  SIMILARLY  TREATED  AS  A  SEPARATE  AND
 DISTINCT  OFFENSE  FOR  PURPOSES  OF THIS PARAGRAPH; OR (II) THE MAXIMUM
 FORFEITURE DETERMINED IN  ACCORDANCE  WITH  SUBDIVISION  THREE  OF  THIS
 SECTION.

 A. 3739                             4
 
   5. NOTWITHSTANDING THE PROVISIONS OF SUBDIVISION THREE OR FOUR OF THIS
 SECTION,  A  TELEPHONE CORPORATION, CABLE CORPORATION, COMBINATION TELE-
 PHONE AND CABLE CORPORATION OR  VOICE  OVER  INTERNET  PROTOCOL  SERVICE
 PROVIDER THAT VIOLATES A PROVISION OF THIS CHAPTER, OR AN ORDER OR REGU-
 LATION  ADOPTED UNDER AUTHORITY OF THIS CHAPTER, DESIGNED TO PROTECT THE
 OVERALL RELIABILITY AND CONTINUITY OF SERVICE, INCLUDING BUT NOT LIMITED
 TO THE RESTORATION OF SERVICE FOLLOWING A MAJOR OUTAGE EVENT OR EMERGEN-
 CY, SHALL FORFEIT A SUM NOT TO EXCEED THE GREATER OF: (A)  FIVE  HUNDRED
 THOUSAND  DOLLARS  OR  FOUR  ONE-HUNDREDTHS OF ONE PERCENT OF THE ANNUAL
 INTRASTATE GROSS OPERATING REVENUE OF THE TELEPHONE  CORPORATION,  CABLE
 CORPORATION,  COMBINATION  TELEPHONE AND CABLE CORPORATION OR VOICE OVER
 INTERNET PROTOCOL SERVICE PROVIDER, WHICHEVER IS GREATER, CONSTITUTING A
 CIVIL PENALTY FOR EACH SEPARATE AND DISTINCT OFFENSE; PROVIDED, HOWEVER,
 THAT FOR PURPOSES OF THIS PARAGRAPH EACH DAY OF A  CONTINUING  VIOLATION
 SHALL  NOT  BE DEEMED A SEPARATE AND DISTINCT OFFENSE.  THE TOTAL PERIOD
 OF A CONTINUING VIOLATION, AS WELL AS EVERY DISTINCT VIOLATION SHALL  BE
 SIMILARLY  TREATED  AS  A  SEPARATE AND DISTINCT OFFENSE FOR PURPOSES OF
 THIS PARAGRAPH; OR
   (B) THE MAXIMUM FORFEITURE DETERMINED IN ACCORDANCE  WITH  SUBDIVISION
 THREE OF THIS SECTION.
   6.  ANY  DIRECTOR,  OFFICER,  AGENT, OR EMPLOYEE OF ANY CORPORATION OR
 SERVICE PROVIDER DETERMINED BY  THE  COMMISSION  TO  HAVE  VIOLATED  THE
 PROVISIONS  OF SUBDIVISION THREE, FOUR, OR FIVE OF THIS SECTION, AND WHO
 KNOWINGLY VIOLATES A PROVISION OF THIS CHAPTER, REGULATION OR  AN  ORDER
 ADOPTED  UNDER AUTHORITY OF THIS CHAPTER SO LONG AS THE SAME SHALL BE IN
 FORCE, INCLUDING A FAILURE TO PROVIDE SAFE AND ADEQUATE  SERVICE,  SHALL
 FORFEIT  A SUM NOT TO EXCEED ONE HUNDRED THOUSAND DOLLARS CONSTITUTING A
 CIVIL PENALTY FOR EACH AND EVERY OFFENSE AND, IN THE CASE OF A  CONTINU-
 ING VIOLATION, EACH DAY SHALL BE DEEMED A SEPARATE AND DISTINCT OFFENSE.
   7.  ANY  SUCH  ASSESSMENT  MAY  BE  COMPROMISED OR DISCONTINUED BY THE
 COMMISSION. ALL MONEYS RECOVERED PURSUANT TO THIS SECTION, TOGETHER WITH
 THE COSTS THEREOF, SHALL BE REMITTED TO, OR  FOR  THE  BENEFIT  OF,  THE
 RATEPAYERS IN A MANNER TO BE DETERMINED BY THE COMMISSION.
   8.  UPON  A  FAILURE  BY  A  TELEPHONE CORPORATION, CABLE CORPORATION,
 COMBINATION TELEPHONE AND  CABLE  CORPORATION  OR  VOICE  OVER  INTERNET
 PROTOCOL  SERVICE  PROVIDER TO REMIT ANY PENALTY ASSESSED BY THE COMMIS-
 SION PURSUANT TO THIS SECTION, THE COMMISSION, THROUGH  ITS  COUNSEL  OR
 OTHER  APPROPRIATE DESIGNEE, MAY INSTITUTE AN ACTION OR SPECIAL PROCEED-
 ING TO COLLECT THE PENALTY IN A COURT OF COMPETENT JURISDICTION.
   9. ANY PAYMENT MADE BY A  TELEPHONE  CORPORATION,  CABLE  CORPORATION,
 COMBINATION  TELEPHONE  AND  CABLE  CORPORATION  OR  VOICE OVER INTERNET
 PROTOCOL SERVICE  PROVIDER  AND  THE  DIRECTORS,  OFFICERS,  AGENTS  AND
 EMPLOYEES  THEREOF  AS  A  RESULT  OF  AN ASSESSMENT AS PROVIDED IN THIS
 SECTION, AND THE COST OF LITIGATION AND  INVESTIGATION  RELATED  TO  ANY
 SUCH  ASSESSMENT, SHALL NOT BE RECOVERABLE FROM RATEPAYERS, SUBSCRIBERS,
 OR CUSTOMERS.
   10. IN CONSTRUING AND ENFORCING THE PROVISIONS OF THIS CHAPTER  RELAT-
 ING TO PENALTIES, THE ACT OF ANY DIRECTOR, OFFICER, AGENT OR EMPLOYEE OF
 A  TELEPHONE  CORPORATION,  CABLE CORPORATION, COMBINATION TELEPHONE AND
 CABLE CORPORATION OR  VOICE  OVER  INTERNET  PROTOCOL  SERVICE  PROVIDER
 ACTING  WITHIN  THE  SCOPE  OF  HIS OR HER OFFICIAL DUTIES OR EMPLOYMENT
 SHALL BE DEEMED TO BE THE  ACT  OF  SUCH  TELEPHONE  CORPORATION,  CABLE
 CORPORATION,  COMBINATION  TELEPHONE AND CABLE CORPORATION OR VOICE OVER
 INTERNET PROTOCOL SERVICE PROVIDER.
   § 2. Severability clause. If any clause, sentence, paragraph, subdivi-
 sion, section or part of this act shall be  adjudged  by  any  court  of

 A. 3739                             5
 
 competent  jurisdiction  to  be invalid, such judgment shall not affect,
 impair, or invalidate the remainder thereof, but shall  be  confined  in
 its  operation  to the clause, sentence, paragraph, subdivision, section
 or part thereof directly involved in the controversy in which such judg-
 ment shall have been rendered. It is hereby declared to be the intent of
 the  legislature  that  this  act  would  have been enacted even if such
 invalid provisions had not been included herein.
   § 3. This act shall take effect immediately.