What's happening
This bill creates a municipal broadband fund to provide grants for local broadband projects that ensure equitable internet access, especially in underserved areas.
Why it matters
Creates a dedicated fund managed by the state comptroller and Public Service Commission chair, ensuring oversight and accountability in how broadband grant money is allocated and spent.
Requires municipalities seeking grants to use the best available technology for their area and prove both their ability to reach underserved populations and the long-term sustainability of their broadband services, raising the bar for project quality and inclusiveness.
Mandates the development of specific rules and a comprehensive plan focused on equitable internet access, making regulatory follow-through and transparent criteria a central part of the program’s rollout.
Provides financial support only after legislative appropriation, meaning that funding is subject to state budget priorities and ongoing legislative review, which could influence the pace and scale of broadband expansion.
Albany, before your first meeting.
Every bill that moved yesterday, summarized in a sentence and ranked by impact. The Albany Scorecard follows on Sundays.
Free. Unsubscribe in one click. Want alerts on specific bills? Create an account.
Who cares
Municipal corporations
They could receive grants for broadband projects and services they fund wholly or partly, provided they meet technology, equitable access and long-term sustainability requirements.
Residents of underserved areas
Grant applicants would have to show how they would ensure equitable internet access throughout the service region, with a focus on underserviced areas.
Public Service Commission chair
The chair would share custody of the fund with the state comptroller and establish rules for applications, distributions and equitable access.
State legislators
Grant distributions would depend on legislative appropriations and could go only to municipal corporations for eligible broadband projects and services.
Headline styles
Fund Local Internet Projects
Plain English, a few words. Used as the page title.
Sponsors
1 Co-sponsor
History
- Referred to finance
- Referred to finance
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
5523
2019-2020 Regular Sessions
IN SENATE
May 6, 2019
Introduced by Sens. MAY, METZGER -- read twice and ordered printed, and when printed to be committed to the Committee on Finance
AN ACT to amend the state finance law, in relation to establishing the municipal broadband fund
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. The state finance law is amended by adding a new section 99-hh to read as follows:
§ 99-hh. Municipal broadband fund. 1. There is hereby established in the joint custody of the state comptroller and the chair of the public service commission a fund to be known as the "municipal broadband fund".
2. Such fund shall consist of all monies appropriated for its purpose, all other monies credited or transferred to such fund pursuant to law, and all monies required by this section or any other provision of law to be paid into or credited to such fund.
3. Moneys of such fund shall be made available to the chair of the public service commission and shall be used for grants to municipal corporations, as that term is defined in section two of the general municipal law, for broadband projects and services that are funded wholly or partially by such municipal corporations. To qualify for such grants, a municipal corporation shall: (a) incorporate the best practicable technology for the region to be served by such broadband; (b) demonstrate how such municipal corporation will ensure equitable internet access to all areas within the service region, with a focus on providing service to underserviced areas; and (c) demonstrate the longterm viability and sustainability of broadband services to residents of the municipal corporation.
4. Following appropriation by the legislature, monies of the fund shall be available only for distribution to municipal corporations for eligible broadband projects and services.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD11452-01-9
S. 5523 2
5. The chair of the public service commission shall promulgate rules and regulations necessary for the implementation of this act, including the application and distribution of funds pursuant to this section, provided that such rules and regulations shall set forth a plan that will ensure equitable internet access to all areas within a service region as required by paragraph (b) of subdivision three of this section.
§ 2. This act shall take effect on the ninetieth day after it shall have become a law. Effective immediately, the addition, amendment and/or repeal of any rule or regulation necessary for the implementation of this act on its effective date are authorized to be made and completed on or before such date.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the state finance law, in relation to establishing the municipal broadband fund
Purpose or general idea of bill
The Municipal Broadband Fund will be used to assist municipalities in developing and sustaining broadband programs that emphasize equitable access. Municipal broadband will be a critical element in addressing the digital divide in rural areas that are allegedly too expensive for for- profit corporations to serve and low-income communities that are unable to afford basic access to highspeed internet.
Summary of specific provisions
Section 1. The state finance law shall be amended by adding section 99-hh, which creates a "municipal broadband fund" under control of the state comptroller and the chair of the public service commission.
Section 2. This fund shall only contain monies intended for the Munici- pal Broadband Fund.
Section 3. To qualify for grants, municipalities must incorporate the best practicable technology for the region to be served, must demon- strate how such program will ensure equitable internet access to all areas served, and demonstrate long-term viability and sustainability of broadband services to be offered.
Section 4. Funding shall only be available for eligible projects under the municipal broadband fund.
Section 5. The chair of the public service commission may promulgate rules and regulations to effect the purposes of this section.
Section 6. Effective Date
Justification
Equitable access to reliable high-speed internet is a basic need of modern life. New Yorkers rely on high-speed internet to work, to learn, and to play. Many areas of our state do not enjoy access to high-speed internet and are thus at a disadvantage compared to the rest of the state - and sometimes even their own neighbors just a few minutes away. In order to ensure equitable access to business, education, enter- tainment, and our democracy, the state must continue to invest in inter- net access in ways that address the digital divide. The Municipal Broad- band Fund will help support projects that fill in the gaps left by other services by supporting municipalities in developing programs that serve all residents in a service area 'equitably. The Fund will especially be directed to those projects that expand access in rural areas and among low-income communities across New York.
Prior legislative history
New bill.
Fiscal implications
To be determined subject to appropriation.
Effective date
90 days after becoming law.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.