When New York's law requiring $15 or $20 broadband plans for people with low incomes took effect last week, Optimum customer William O'Brien tried to sign up for the cheap Internet service. Since O'Brien is in the Supplemental Nutrition Assistance Program (SNAP), he qualifies for one of the affordable plans that Internet service providers must offer New Yorkers who meet income eligibility requirements.
O'Brien has been paying Optimum $111.20 a month for broadband—$89.99 for the broadband service, $14 in equipment rental fees, a $6 "Network Enhancement Fee," and $1.21 in tax. He was due for a big discount under the New York Affordable Broadband Act (ABA), which says that any ISP with over 20,000 customers must offer either a $15 plan with download speeds of at least 25Mbps or a $20 plan with at least 200Mbps speeds, and that the price must include "any recurring taxes and fees such as recurring rental fees for service provider equipment required to obtain broadband service and usage fees."
The only way companies will willingly comply with the law is if the state forces their hand. Otherwise they will flaunt it until and unless they are punished for doing so.