NY's Affordable Broadband Act is back in court. Why it's being challenged again

If you were hoping to receive reduced broadband internet prices in New York, you'll have to wait a while longer as the state's Affordable Broadband Act has found itself back in court.

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 in April, meaning the measure is back in play.

However, a group of trade organizations representing internet service providers concerned with the decision have filed a petition with the U.S. Supreme Court to further challenge the state's push to provide cheaper broadband to its low-income residents.

Here's what to know.

What the Affordable Broadband Act would mean for New Yorkers

The ABA 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 the Second Circuit's decision in April.

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 April's decision stated.

Why the ABA is being challenged again

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, the group of trade organizations argued the state-based act conflicted with federal law. Currently, no state or federal government regulates the rates consumers pay for their broadband service, according to the Communications Act of 1934, which allows regulation of interstate and foreign communication.

The district court agreed with the trade organizations and granted a preliminary injunction, barring New York from enforcing the act, but the appeals court ruled against the district court's initial decision in April, claiming the act does not conflict with federal law.

The group of trade organizations, which includes the New York State Telecommunications Association Inc., ACA Connects - America's Communications Association, CTIA - The Wireless Association, NTCA - The Rural Broadband Association, the Satellite Broadcasting and Communications Association and USTelecom - The Broadband Association, still believes it does, however.

Another court case could also influence these proceedings. In May, the FCC attempted to re-classify broadband internet providers as common carriers, the New York State Department of Public Service said in a report released Tuesday, which would impose increased regulations under the Communications Act. However, the Sixth Circuit Court of Appeals stayed that decision while it undergoes further litigation.

Affordable Broadband Act: NY to require internet providers to offer low-cost internet option

On June 14, after an extension to file a petition for a rehearing related to the ABA was granted, the group decided they would not file a petition for a rehearing, according to Assemblymember Amy Paulin's office, who sponsored the initial bill, instead taking another avenue of litigation: filing a petition with the U.S. Supreme Court.

The petition to review the lower court's decision was filed Aug. 12 and questions whether the Communications Act keeps New York's ABA from happening.

"A world in which states can countermand Congress's preclusion of rate regulation for such services will end long-standing national uniformity for broadband, to the detriment of providers, consumers, and the nation," the petition states.

And according to the petition, the Second Circuit's reasoning in their ruling would mean the Communications Act would also not prevent states from regulating prices providers charge for other online services that rely on broadband such as video and music streaming, cloud storage, email and messaging and video conferencing.

Discounted internet: Spectrum required to provide cheaper service to low-income NY customers

What comes next

It's now in the hands of the U.S. Supreme Court.

A decision was originally expected by Sept. 13, but an extension requested on Sept. 4 was granted, so a response will be received by or on Oct. 15.

Emily Barnes reports on consumer-related issues for the USA TODAY Network’s NY-Connect Team, focusing on scam and recall-related topics. Follow her on Twitter and Instagram @byemilybarnes. Get in touch at ebarnes@gannett.com.

This article originally appeared on Rochester Democrat and Chronicle: NY's Affordable Broadband Act is back in court. What to know