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California Law Lets Renters Opt Out Of Landlord ‘Bulk Billing’ Broadband Arrangements

*This is the second installment of an ongoing series we are calling Connected Complex looks at how states and local communities are working to address the often complex challenges involved in bringing high-speed Internet access to multi-dwelling units.

California lawmakers approved new legislation letting renters opt out of bulk-billing arrangements that force them to pay for Internet service from a specific provider. Lawmakers say they didn’t ban the practice for fear of undermining some of the more beneficial aspects of bulk billing, which can make deployments more financially tenable for smaller providers.

Starting January 1, AB1414 requires that landlords “allow the tenant to opt out of paying for any subscription from a third-party Internet service provider, such as through a bulk-billing arrangement, to provide service for wired Internet, cellular, or satellite service that is offered in connection with the tenancy."

Image
A logo that depicts clip art of several apartment buildings clustered together with "Connect Complex" at the top. Under the clip art is another phrase: "A Series on Internet Connectivity in Multi-Dwelling Units

The new law states that if landlords prevent tenants from opting out of such arrangements, tenants "may deduct the cost of the subscription to the third-party Internet service provider from the rent." Landlords are also prohibited from any sort of retaliation.

AB1414 passed the California state Senate in a 30–7 vote a month ago, and was signed into law by California Governor Gavin Newsom last week.

California Law Lets Renters Opt Out Of Landlord ‘Bulk Billing’ Broadband Arrangements

*This is the second installment of an ongoing series we are calling Connected Complex looks at how states and local communities are working to address the often complex challenges involved in bringing high-speed Internet access to multi-dwelling units.

California lawmakers approved new legislation letting renters opt out of bulk-billing arrangements that force them to pay for Internet service from a specific provider. Lawmakers say they didn’t ban the practice for fear of undermining some of the more beneficial aspects of bulk billing, which can make deployments more financially tenable for smaller providers.

Starting January 1, AB1414 requires that landlords “allow the tenant to opt out of paying for any subscription from a third-party Internet service provider, such as through a bulk-billing arrangement, to provide service for wired Internet, cellular, or satellite service that is offered in connection with the tenancy."

Image
A logo that depicts clip art of several apartment buildings clustered together with "Connect Complex" at the top. Under the clip art is another phrase: "A Series on Internet Connectivity in Multi-Dwelling Units

The new law states that if landlords prevent tenants from opting out of such arrangements, tenants "may deduct the cost of the subscription to the third-party Internet service provider from the rent." Landlords are also prohibited from any sort of retaliation.

AB1414 passed the California state Senate in a 30–7 vote a month ago, and was signed into law by California Governor Gavin Newsom last week.

California Law Lets Renters Opt Out Of Landlord ‘Bulk Billing’ Broadband Arrangements

*This is the second installment of an ongoing series we are calling Connected Complex looks at how states and local communities are working to address the often complex challenges involved in bringing high-speed Internet access to multi-dwelling units.

California lawmakers approved new legislation letting renters opt out of bulk-billing arrangements that force them to pay for Internet service from a specific provider. Lawmakers say they didn’t ban the practice for fear of undermining some of the more beneficial aspects of bulk billing, which can make deployments more financially tenable for smaller providers.

Starting January 1, AB1414 requires that landlords “allow the tenant to opt out of paying for any subscription from a third-party Internet service provider, such as through a bulk-billing arrangement, to provide service for wired Internet, cellular, or satellite service that is offered in connection with the tenancy."

Image
A logo that depicts clip art of several apartment buildings clustered together with "Connect Complex" at the top. Under the clip art is another phrase: "A Series on Internet Connectivity in Multi-Dwelling Units

The new law states that if landlords prevent tenants from opting out of such arrangements, tenants "may deduct the cost of the subscription to the third-party Internet service provider from the rent." Landlords are also prohibited from any sort of retaliation.

AB1414 passed the California state Senate in a 30–7 vote a month ago, and was signed into law by California Governor Gavin Newsom last week.

California Law Lets Renters Opt Out Of Landlord ‘Bulk Billing’ Broadband Arrangements

*This is the second installment of an ongoing series we are calling Connected Complex looks at how states and local communities are working to address the often complex challenges involved in bringing high-speed Internet access to multi-dwelling units.

California lawmakers approved new legislation letting renters opt out of bulk-billing arrangements that force them to pay for Internet service from a specific provider. Lawmakers say they didn’t ban the practice for fear of undermining some of the more beneficial aspects of bulk billing, which can make deployments more financially tenable for smaller providers.

Starting January 1, AB1414 requires that landlords “allow the tenant to opt out of paying for any subscription from a third-party Internet service provider, such as through a bulk-billing arrangement, to provide service for wired Internet, cellular, or satellite service that is offered in connection with the tenancy."

Image
A logo that depicts clip art of several apartment buildings clustered together with "Connect Complex" at the top. Under the clip art is another phrase: "A Series on Internet Connectivity in Multi-Dwelling Units

The new law states that if landlords prevent tenants from opting out of such arrangements, tenants "may deduct the cost of the subscription to the third-party Internet service provider from the rent." Landlords are also prohibited from any sort of retaliation.

AB1414 passed the California state Senate in a 30–7 vote a month ago, and was signed into law by California Governor Gavin Newsom last week.

California Law Lets Renters Opt Out Of Landlord ‘Bulk Billing’ Broadband Arrangements

*This is the second installment of an ongoing series we are calling Connected Complex looks at how states and local communities are working to address the often complex challenges involved in bringing high-speed Internet access to multi-dwelling units.

California lawmakers approved new legislation letting renters opt out of bulk-billing arrangements that force them to pay for Internet service from a specific provider. Lawmakers say they didn’t ban the practice for fear of undermining some of the more beneficial aspects of bulk billing, which can make deployments more financially tenable for smaller providers.

Starting January 1, AB1414 requires that landlords “allow the tenant to opt out of paying for any subscription from a third-party Internet service provider, such as through a bulk-billing arrangement, to provide service for wired Internet, cellular, or satellite service that is offered in connection with the tenancy."

Image
A logo that depicts clip art of several apartment buildings clustered together with "Connect Complex" at the top. Under the clip art is another phrase: "A Series on Internet Connectivity in Multi-Dwelling Units

The new law states that if landlords prevent tenants from opting out of such arrangements, tenants "may deduct the cost of the subscription to the third-party Internet service provider from the rent." Landlords are also prohibited from any sort of retaliation.

AB1414 passed the California state Senate in a 30–7 vote a month ago, and was signed into law by California Governor Gavin Newsom last week.

California Law Lets Renters Opt Out Of Landlord ‘Bulk Billing’ Broadband Arrangements

*This is the second installment of an ongoing series we are calling Connected Complex looks at how states and local communities are working to address the often complex challenges involved in bringing high-speed Internet access to multi-dwelling units.

California lawmakers approved new legislation letting renters opt out of bulk-billing arrangements that force them to pay for Internet service from a specific provider. Lawmakers say they didn’t ban the practice for fear of undermining some of the more beneficial aspects of bulk billing, which can make deployments more financially tenable for smaller providers.

Starting January 1, AB1414 requires that landlords “allow the tenant to opt out of paying for any subscription from a third-party Internet service provider, such as through a bulk-billing arrangement, to provide service for wired Internet, cellular, or satellite service that is offered in connection with the tenancy."

Image
A logo that depicts clip art of several apartment buildings clustered together with "Connect Complex" at the top. Under the clip art is another phrase: "A Series on Internet Connectivity in Multi-Dwelling Units

The new law states that if landlords prevent tenants from opting out of such arrangements, tenants "may deduct the cost of the subscription to the third-party Internet service provider from the rent." Landlords are also prohibited from any sort of retaliation.

AB1414 passed the California state Senate in a 30–7 vote a month ago, and was signed into law by California Governor Gavin Newsom last week.

California Law Lets Renters Opt Out Of Landlord ‘Bulk Billing’ Broadband Arrangements

*This is the second installment of an ongoing series we are calling Connected Complex looks at how states and local communities are working to address the often complex challenges involved in bringing high-speed Internet access to multi-dwelling units.

California lawmakers approved new legislation letting renters opt out of bulk-billing arrangements that force them to pay for Internet service from a specific provider. Lawmakers say they didn’t ban the practice for fear of undermining some of the more beneficial aspects of bulk billing, which can make deployments more financially tenable for smaller providers.

Starting January 1, AB1414 requires that landlords “allow the tenant to opt out of paying for any subscription from a third-party Internet service provider, such as through a bulk-billing arrangement, to provide service for wired Internet, cellular, or satellite service that is offered in connection with the tenancy."

Image
A logo that depicts clip art of several apartment buildings clustered together with "Connect Complex" at the top. Under the clip art is another phrase: "A Series on Internet Connectivity in Multi-Dwelling Units

The new law states that if landlords prevent tenants from opting out of such arrangements, tenants "may deduct the cost of the subscription to the third-party Internet service provider from the rent." Landlords are also prohibited from any sort of retaliation.

AB1414 passed the California state Senate in a 30–7 vote a month ago, and was signed into law by California Governor Gavin Newsom last week.

Affordability Law Whodunnit Gets Less Mysterious, But Murkiness Remains

The mystery of who and what killed the California Affordable Home Internet Act is coming into view.

As a California lawmaker hinted when the bill was abruptly withdrawn in June, the evidence seems to be pointing to the new leadership now directing the National Telecommunications and Information Administration (NTIA) – the agency administering the $42.5 billion federal BEAD program to expand Internet access.

In a recently released FAQ published by the NTIA this week, a corroborating clue has emerged.

And what may be the smoking gun is a bullet buried on page 48, under section 3.29, after the question: "May an Eligible Entity (states) require a specific rate for the low-cost service option (LCSO) when required by state law?”

NTIA's answer:

“No. The IIJA prohibits NTIA or the Assistant Secretary from engaging in rate regulation. Because the Assistant Secretary must approve the LCSO in the Final Proposal, the rate contained may not be the result of rate regulation. The RPN (Restructuring Policy Notice) addressed this fundamental flaw in the BEAD NOFO. The RPN eliminated BEAD NOFO requirements dictating price and other terms for the required low-cost service option.”

“Per the RPN, states may not apply state laws to reimpose LCSO requirements removed by the RPN. More specifically, the RPN ‘prohibits Eligible Entities from explicitly or implicitly setting the LCSO rate a subgrantee must offer’ (BEAD Restructuring Policy Notice, p.7). Violation would result in rejection of the Final (BEAD) Proposal (emphasis added).”

Affordability Law Whodunnit Gets Less Mysterious, But Murkiness Remains

The mystery of who and what killed the California Affordable Home Internet Act is coming into view.

As a California lawmaker hinted when the bill was abruptly withdrawn in June, the evidence seems to be pointing to the new leadership now directing the National Telecommunications and Information Administration (NTIA) – the agency administering the $42.5 billion federal BEAD program to expand Internet access.

In a recently released FAQ published by the NTIA this week, a corroborating clue has emerged.

And what may be the smoking gun is a bullet buried on page 48, under section 3.29, after the question: "May an Eligible Entity (states) require a specific rate for the low-cost service option (LCSO) when required by state law?”

NTIA's answer:

“No. The IIJA prohibits NTIA or the Assistant Secretary from engaging in rate regulation. Because the Assistant Secretary must approve the LCSO in the Final Proposal, the rate contained may not be the result of rate regulation. The RPN (Restructuring Policy Notice) addressed this fundamental flaw in the BEAD NOFO. The RPN eliminated BEAD NOFO requirements dictating price and other terms for the required low-cost service option.”

“Per the RPN, states may not apply state laws to reimpose LCSO requirements removed by the RPN. More specifically, the RPN ‘prohibits Eligible Entities from explicitly or implicitly setting the LCSO rate a subgrantee must offer’ (BEAD Restructuring Policy Notice, p.7). Violation would result in rejection of the Final (BEAD) Proposal (emphasis added).”

Affordability Law Whodunnit Gets Less Mysterious, But Murkiness Remains

The mystery of who and what killed the California Affordable Home Internet Act is coming into view.

As a California lawmaker hinted when the bill was abruptly withdrawn in June, the evidence seems to be pointing to the new leadership now directing the National Telecommunications and Information Administration (NTIA) – the agency administering the $42.5 billion federal BEAD program to expand Internet access.

In a recently released FAQ published by the NTIA this week, a corroborating clue has emerged.

And what may be the smoking gun is a bullet buried on page 48, under section 3.29, after the question: "May an Eligible Entity (states) require a specific rate for the low-cost service option (LCSO) when required by state law?”

NTIA's answer:

“No. The IIJA prohibits NTIA or the Assistant Secretary from engaging in rate regulation. Because the Assistant Secretary must approve the LCSO in the Final Proposal, the rate contained may not be the result of rate regulation. The RPN (Restructuring Policy Notice) addressed this fundamental flaw in the BEAD NOFO. The RPN eliminated BEAD NOFO requirements dictating price and other terms for the required low-cost service option.”

“Per the RPN, states may not apply state laws to reimpose LCSO requirements removed by the RPN. More specifically, the RPN ‘prohibits Eligible Entities from explicitly or implicitly setting the LCSO rate a subgrantee must offer’ (BEAD Restructuring Policy Notice, p.7). Violation would result in rejection of the Final (BEAD) Proposal (emphasis added).”