Requires charges for telephone calls based on duration, whether over lines or by cellular, to be charged and prorated by the second; applies to all service providers; authorizes the public service commission to promulgate rules and regulations.

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S577-2013 Actions

• Jan 9, 2013: REFERRED TO ENERGY AND TELECOMMUNICATIONS

S577-2013 Memo

BILL NUMBER:S577

TITLE OF BILL:
An act
to amend the public service law, in relation to charges for telephone
service on a by the second basis

SUMMARY OF SPECIFIC PROVISIONS:
Amends subdivision 1 of section 91 of the public service law.

JUSTIFICATION:
In this day of computer automated phone systems, there is no
identifiable reason why phone companies cannot charge their customers
by the second instead of by the minute.

Many smaller long-distance companies already provide this service.
However, the biggest long-distance companies do not. A phone call for
one minute and ten seconds should be charged as that, and not as two
minutes. Phone companies reap huge profits from this billing system
and are reluctant to change the way they do business. The consequence
of this is that New York phone customers are overcharged every time
they make a long-distance call.

This legislation will force these companies to charge by the second,
rather than by the minute, here in New York State.

PRIOR LEGISLATIVE HISTORY:
2012: Senate Bill
2511 (Gianaris) - Died in Senate Energy &
Telecommunications Committee
2012: Assembly Bill
4753 (Simotas) - Died in Assembly
Corporations, Authorities and Commissions Committee
2010: Assembly Bill
5226 (Gianaris) - Died in Assembly
Corporations, Authorities and Commissions Committee
2008: Assembly Bill
4257 (Gianaris) - Died in Assembly
Corporations, Authorities and Commissions Committee
2006: Assembly Bill
9503 (Gianaris) - Died in Assembly Codes
Committee
2005: Assembly Bill
9503 (Stringer) - Died in Assembly
Corporations, Authorities and Commissions Committee
2004: Assembly Bill
4564 (Stringer) - Died in Assembly
Corporations, Authorities and Commissions Committee
2002: Assembly Bill
1668 (Stringer) - Died in Assembly
Corporations, Authorities and Commissions Committee
2000: Assembly Bill
1561 (Stringer) - Died in Assembly
Corporations, Authorities and Commissions Committee
1998: Assembly Bill
8947 (Stringer) - Died in Assembly
Corporations, Authorities and Commissions Committee


FISCAL IMPLICATIONS:
None.

EFFECTIVE DATE:
This act shall take effect on the one hundred eightieth day after it
shall have become a law; provided that the public service commission
is authorized to promulgate any and all rules and regulations and
take any other measures necessary to implement this act on its
effective date on or before such date.

S577-2013 Text

                      S T A T E   O F   N E W   Y O R K
  ________________________________________________________________________

                                     577

                         2013-2014 Regular Sessions

                              I N  SENATE

                                 (PREFILED)

                               January 9, 2013
                                 ___________

  Introduced  by Sen. GIANARIS -- read twice and ordered printed, and when
    printed to be committed to the Committee on  Energy  and  Telecommuni-
    cations

  AN ACT to amend the public service law, in relation to charges for tele-
    phone service on a by the second basis

    THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
  BLY, DO ENACT AS FOLLOWS:


    Section 1. Subdivision 1 of section 91 of the public service  law,  as
  added by chapter 673 of the laws of 1910, is amended to read as follows:

    1.  Every  telegraph corporation and every telephone corporation shall
  furnish and provide with respect to its business such  instrumentalities
  and facilities as shall be adequate and in all respects just and reason-
  able. All charges made or demanded by any telegraph corporation or tele-
  phone  corporation  for  any  service  rendered  or  to  be  rendered in
  connection therewith shall be just and  reasonable  and  not  more  than
  allowed  by law or by order of the commission. EVERY CHARGE FOR TELECOM-
  MUNICATIONS SERVICE, WHETHER BY MEANS OF A TELEPHONE LINE OR BY MEANS OF
  CELLULAR RADIO COMMUNICATION, MADE ON THE BASIS OF THE DURATION  OF  THE
  COMMUNICATION  SHALL BE CHARGED AND PRORATED BY THE SECOND. Every unjust
  or unreasonable charge made or demanded  for  any  such  service  or  in
  connection  therewith or in excess of that allowed by law or by order of
  the commission is prohibited and declared to be unlawful.
    S 2. The section heading of section 92-c of the public service law, as
  added by chapter 697 of the laws of 1990, is amended, subdivision  1  is
  amended  by adding a new paragraph (c) and a new subdivision 12 is added
  to read as follows:

    Customer service  requirements  for  AGGREGATORS,  alternate  operator
  service providers and COCOT service providers.
    (C) THE TERM "AGGREGATOR" MEANS ANY HOTEL, MOTEL, INNKEEPER, SCHOOL OR
  HOSPITAL  WHICH IS NOT A TELEGRAPH CORPORATION OR TELEPHONE CORPORATION,

   EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                        [ ] is old law to be omitted.
                                                             LBD01545-01-3

 S. 577                              2

  WHICH, IN THE ORDINARY COURSE OF BUSINESS, MAKES  AVAILABLE  FOR  PUBLIC
  USE  TELEPHONES OR TELEPHONE EQUIPMENT. SUCH TERM SHALL ALSO INCLUDE ANY
  HOTEL, MOTEL, INNKEEPER, SCHOOL OR HOSPITAL WHICH IMPOSES ANY CHARGE  OR
  RECEIVES  ANY  COMPENSATION  BY  CONTRACT, TARIFF OR OTHERWISE FOR CALLS
  MADE FROM A TELEPHONE PROVIDED IN A GUEST ROOM, DORMITORY, HOSPITAL ROOM
  OR OTHER PREMISES UNDER THE CONTROL OF SUCH ENTITY TO AN ALTERNATE OPER-
  ATOR SERVICE PROVIDER.  THE TERM AGGREGATOR ALSO INCLUDES ANY  UNIVERSI-
  TY,  PROVIDED,  THAT INCLUSION IN SUCH DEFINITION SHALL IN NO WAY AFFECT
  THE TAX-EXEMPT OR ANY OTHER STATUS OF  ANY  SUCH  UNIVERSITY  UNDER  THE
  EDUCATION  LAW,  TAX LAW OR NOT-FOR-PROFIT CORPORATION LAW, OR ANY OTHER
  PROVISION OF LAW, RULE OR REGULATION RELATING THERETO.
    12. EVERY CHARGE FOR TELECOMMUNICATIONS SERVICE BY AN ALTERNATE OPERA-
  TOR SERVICE PROVIDER, COCOT SERVICE PROVIDER OR AGGREGATOR,  WHETHER  BY
  MEANS  OF  A TELEPHONE LINE OR BY MEANS OF CELLULAR RADIO COMMUNICATION,
  MADE ON THE BASIS OF THE DURATION OF THE COMMUNICATION SHALL BE  CHARGED
  AND PRORATED BY THE SECOND.
    S 3. This act shall take effect on the one hundred eightieth day after
  it  shall have become a law; provided that the public service commission
  is authorized to promulgate any and all rules and regulations  and  take
  any other measures necessary to implement this act on its effective date
  on or before such date.