HF 136

2nd Engrossment - 91st Legislature (2019 - 2020) Posted on 04/08/2019 05:55pm

A bill for an act
relating to broadband service; prohibiting certain activities by Internet service
providers serving Minnesota customers and those under contract to the state or
political subdivisions; authorizing monetary fines; proposing coding for new law
in Minnesota Statutes, chapters 16C; 325F.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

new text begin [16C.57] CONTRACTS FOR INTERNET SERVICE; ADHERENCE TO
NET NEUTRALITY.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For purposes of this section, the following terms have
the meanings given in this subdivision.
new text end

new text begin (b) "Broadband Internet access service" means:
new text end

new text begin (1) a mass-market retail service by wire or radio that provides the capability, including
any capability that is incidental to and enables the operation of the communications service,
to transmit data to and receive data from all or substantially all Internet endpoints;
new text end

new text begin (2) any service that provides a functional equivalent of the service described in clause
(1); or
new text end

new text begin (3) any service that is used to evade the protections set forth in this section.
new text end

new text begin "Broadband Internet access service" includes service that serves end users at fixed endpoints
using stationary equipment or end users using mobile stations but does not include dial-up
Internet access service.
new text end

new text begin (c) "Edge provider" means any person or entity that provides (1) any content, application,
or service over the Internet, or (2) a device used to access any content, application, or service
over the Internet, but does not include a person or entity providing obscene material, as
defined by section 617.241.
new text end

new text begin (d) "Internet service provider" means a business that provides broadband Internet access
service to a customer in Minnesota.
new text end

new text begin (e) "Paid prioritization" means the management of an Internet service provider's network
to directly or indirectly favor some traffic over other traffic (1) in exchange for monetary
or other consideration from a third party, or (2) to benefit an affiliated entity.
new text end

new text begin Subd. 2. new text end

new text begin Purchasing or funding broadband Internet access services; prohibitions. new text end

new text begin A
state agency or political subdivision is prohibited from entering into a contract or providing
funding for the purchase of broadband Internet access service after August 1, 2019, that
does not contain:
new text end

new text begin (1) a binding agreement in which the Internet service provider certifies to the
commissioner of commerce that the Internet service provider will not engage in any of the
following activities with respect to any of its Minnesota customers:
new text end

new text begin (i) block lawful content, applications, services, or nonharmful devices, subject to
reasonable network management;
new text end

new text begin (ii) impair, impede, or degrade lawful Internet traffic on the basis of Internet content,
application, or service, or use of a nonharmful device, subject to reasonable network
management;
new text end

new text begin (iii) engage in paid prioritization;
new text end

new text begin (iv) unreasonably interfere with or unreasonably disadvantage:
new text end

new text begin (A) a customer's ability to select, access, and use broadband Internet service or lawful
Internet content, applications, services, or devices of the customer's choice; or
new text end

new text begin (B) an edge provider's ability to provide lawful Internet content, applications, services,
or devices to a customer, except that an Internet service provider may block content if the
edge provider charges or intends to charge a fee to the Internet service provider for the
content; or
new text end

new text begin (v) engage in deceptive or misleading marketing practices that misrepresent the treatment
of Internet traffic or content; and
new text end

new text begin (2) provisions requiring the state agency or political subdivision, upon determining the
Internet service provider has violated the binding agreement under clause (1), to unilaterally
terminate the contract for broadband Internet access service and require the Internet service
provider to remunerate the state agency or political subdivision for all revenues earned
under the contract during the period when the violation occurred.
new text end

new text begin Subd. 3. new text end

new text begin Other laws. new text end

new text begin Nothing in this section supersedes any obligation or authorization
an Internet service provider may have to address the needs of emergency communications
or law enforcement, public safety, or national security authorities, consistent with or as
permitted by applicable law, or limits the provider's ability to do so.
new text end

new text begin Subd. 4. new text end

new text begin Exception. new text end

new text begin This section does not apply to a state agency or political subdivision
that purchases or funds fixed broadband Internet access services in a geographic location
where broadband Internet access services are only available from a single Internet service
provider.
new text end

new text begin Subd. 5. new text end

new text begin Enforcement. new text end

new text begin A violation of the certification provided under subdivision 2
must be enforced by the commissioner of commerce. Any Internet service provider who
materially or repeatedly violates this section is subject to a fine of not more than $1,000 for
each violation. A fine authorized by this section may be imposed by the commissioner,
through a civil action brought by the commissioner under section 45.027, or by the attorney
general under section 8.31 on behalf of the state of Minnesota, and shall be deposited into
the state treasury.
new text end

Sec. 2.

new text begin [325F.6945] INTERNET SERVICE PROVIDERS; PROHIBITED ACTIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin The definitions in section 16C.57 apply to this section.
new text end

new text begin Subd. 2. new text end

new text begin Prohibited actions. new text end

new text begin An Internet service provider is prohibited from engaging
in any of the following activities with respect to any of its Minnesota customers:
new text end

new text begin (1) block lawful content, applications, services, or nonharmful devices, subject to
reasonable network management;
new text end

new text begin (2) impair, impede, or degrade lawful Internet traffic on the basis of Internet content,
application, or service, or use of a nonharmful device, subject to reasonable network
management;
new text end

new text begin (3) engage in paid prioritization;
new text end

new text begin (4) unreasonably interfere with or unreasonably disadvantage:
new text end

new text begin (i) a customer's ability to select, access, and use broadband Internet service or lawful
Internet content, applications, services, or devices of the customer's choice; or
new text end

new text begin (ii) an edge provider's ability to provide lawful Internet content, applications, services,
or devices to a customer; or
new text end

new text begin (5) engage in deceptive or misleading marketing practices that misrepresent the treatment
of Internet traffic or content.
new text end

new text begin Subd. 3. new text end

new text begin Certification required. new text end

new text begin Prior to offering service to a customer in Minnesota,
or prior to August 1, 2019, for Internet service providers already offering services to
customers in Minnesota, an Internet service provider must file a document with the
commissioner of commerce certifying that it will not engage in any of the activities prohibited
under subdivision 2. The filing required by this subdivision must be provided prior to
offering services for the first time in Minnesota, and at any time after a company or entity
has changed ownership or merged with another entity, or prior to offering services in the
state after the company has suspended service for more than 30 days, but is not required to
make filings on an annual basis.
new text end

new text begin Subd. 4. new text end

new text begin Other laws. new text end

new text begin Nothing in this section supersedes any obligation or authorization
an Internet service provider may have to address the needs of emergency communications
or law enforcement, public safety, or national security authorities, consistent with or as
permitted by applicable law, or limits the provider's ability to do so.
new text end

new text begin Subd. 5. new text end

new text begin Enforcement. new text end

new text begin (a) A violation of subdivision 2 may be enforced by the
commissioner of commerce under section 45.027 and by the attorney general under section
8.31. The venue for enforcement proceedings is Ramsey County.
new text end

new text begin (b) A violation of the certification provided under subdivision 3 must be enforced under
section 609.48. The venue for enforcement proceedings is Ramsey County.
new text end