SF 3711

as introduced - 93rd Legislature (2023 - 2024) Posted on 06/03/2024 10:56am

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 established under 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. Edge provider 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 to purchase broadband Internet access service after August 1, 2023, 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 must not engage in any of the
following activities with respect to any of the Internet service provider's Minnesota
customers:
new text end

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

new text begin (ii) subject to reasonable network management, impair, impede, or degrade lawful
Internet traffic on the basis of (A) Internet content, application, or service, or (B) use of a
nonharmful device;
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 providing
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: (i)
unilaterally terminate the contract for broadband Internet access service without penalty to
the state agency or political subdivision, as applicable; and (ii) 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: (1) 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 (2) limits the provider's ability to meet, address,
or comply with the needs identified in clause (1).
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 The commissioner of commerce must enforce a violation of the
certification provided under subdivision 2. An 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. Fines collected under this subdivision must 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 the Internet service provider's
Minnesota customers:
new text end

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

new text begin (2) subject to reasonable network management, impair, impede, or degrade lawful Internet
traffic on the basis of (i) Internet content, application, or service, or (ii) use of a nonharmful
device;
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, 2023, for Internet service providers already offering service to customers
in Minnesota, an Internet service provider must file a document with the commissioner of
commerce certifying that it must not engage in any of the activities prohibited under
subdivision 2. The filing required by this subdivision must be provided (1) prior to offering
service for the first time in Minnesota, (2) at any time after a company or entity has changed
ownership or merged with another entity, and (3) prior to offering service in the state after
the company has suspended service for more than 30 days. An Internet service provider is
not required to make filings under this subdivision 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: (1) 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 (2) limits the provider's ability to meet, address,
or comply with the needs identified in clause (1).
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 or 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