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NY to require internet providers to offer low-cost internet option. What to know - Democrat & Chronicle

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Internet service providers in New York are now required to offer low-cost internet for qualifying residents.

The Affordable Broadband Act (ABA), which was enacted in 2021 then blocked before it could go into effect, requires internet service providers to offer broadband internet to qualifying households at reduced prices.

But a decision from the U.S. Court of Appeals for the Second Circuit in Manhattan overturned the previous district court's ruling on the act Friday, meaning the measure is back in play.

This comes on the heels of the end of the national Affordable Connectivity Program, which helped ensure households could afford broadband internet by providing those eligible with monthly service discounts and a device discount.

Here's what to know about the Affordable Broadband Act.

Internet service providers in New York may now be required to offer low-cost internet for qualifying residents through the Affordable Broadband Act.

What this means for New Yorkers

The Affordable Broadband Act requires anyone looking to provide broadband service, or internet service providers, in New York to offer high speed broadband service to low-income customers at fixed prices, according to documents from Friday's decision.

Through the act, internet service providers must offer qualifying consumers broadband at no more than $15 per month of service of 25 megabits per second or $20 per month for high-speed service of 200 megabits per second.

However, certain price increases may be allowed every few years and internet service providers that serve 20,000 households or less may be exempted if the New York Public Service Commission "determines that compliance with such requirements would result in unreasonable or unsustainable financial impact on the broadband service provider," documents from Friday's decision stated.

Affordable internet program ending:Can you still get cheaper internet in NY?

Why the Affordable Broadband Act was initially questioned

Those in favor of the act outlined how the COVID pandemic revealed the importance of reliable internet access — it became a crucial part in accessing healthcare, education and work opportunities, but nevertheless remained out of reach for many New Yorkers.

However, a group of trade organizations representing internet service providers argued the state-based act conflicted with federal law. The district court agreed with the trade organizations and granted a preliminary injunction, barring New York from enforcing the act.

However, the appeals court ruled against the district court's initial decision last week, claiming the act does not conflict with federal law.

"The State is considering the ramifications of the recent 2nd Circuit Court decision reinstating the state’s Affordable Broadband Act that would require internet service providers to offer $15-month broadband service," a New York State Department of Public Service representative said in a written statement Wednesday.

Emily Barnes is the New York State Team consumer advocate reporter for the USA TODAY Network. Contact Barnes at ebarnes@gannett.com or on Twitter @byemilybarnes.

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