• by Wendy Davis  @wendyndavis, December 16, 2024

The Supreme Court on Monday turned away broadband providers who sought to challenge a New York law requiring them to offer $15 a month service to low-income residents.

The justices didn't give a reason for their refusal to hear the case.

The move leaves in place a decision issued by the 2nd Circuit Court of Appeals, which upheld the New York Affordable Broadband Act.

The legal dispute dates to May 2021, when a coalition of broadband lobbying groups challenged New York's Affordable Broadband Act, a then-new law that required carriers to charge no more than $15 a month for broadband service to low-income households.

The groups, including CTIA -- The Wireless Association, ACA Connects--America's Communications Association, US Telecom -- The Broadband Association, NTCA -- the Rural Broadband Association, argued that only the federal government can regulate the broadband industry.

The lobbying groups also contended that New York's law conflicted with the Federal Communications Commission's 2018 repeal of the Obama-era net neutrality rules -- a deregulatory move that largely stripped the FCC of the power to regulate broadband providers. (This year, the FCC passed an order reinstating the Obama-era rules, but the 6th Circuit Court of Appeals prevented that order from taking effect.)

U.S. District Court Judge Denis Hurley in Central Islip, New York -- an appointee of President George H. W. Bush -- agreed with the lobbying groups and blocked New York's law.

In April, the 2nd Circuit reversed Hurley's decision, ruling 2-1 that the FCC's 2018 net neutrality repeal doesn't prevent New York from regulating internet service.

“A federal agency cannot exclude states from regulating in an area where the agency itself lacks regulatory authority,” Circuit Judge Alison Nathan wrote in an opinion joined by Sarah Merriam.

The broadband groups then asked the Supreme Court to hear an appeal.

Among other arguments, they contended that other states might follow New York's lead, resulting in a “state-by-state race to dictate the prices at which broadband service is sold to consumers.”

New York Attorney General Letitia James urged the Supreme Court to reject that argument as too speculative.

“The ABA was enacted more than three years ago,” the attorney general's office wrote, using an abbreviation for the state law. “But as far as respondent is aware, no other State has enacted a law that, like the ABA, requires broadband providers to offer low-income individuals an affordable broadband product.”