Governor signs Hinchey bill to expand rural broadband service

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ALBANY – A bill designed to help bridge the digital divide in rural and underserved areas has been signed into law by the governor.

The measure was sponsored by Senator Michelle Hinchey of Saugerties and Assemblywoman Carrie Woerner (D- Round Lake).

The legislation, S7028/A2396A, will make it easier and more affordable for broadband providers to install internet service on utility poles by mandating the fair distribution of installation costs between service providers and utility corporations and streamlining the contract process for broadband expansion projects.

When broadband providers try to install new internet service lines on utility poles they are often hit with exorbitant costs, including requests to fund the replacement of the entire pole, which can increase project costs several times higher than budgeted, resulting in significant project delays, and disincentivizing providers from expanding coverage in rural communities altogether.

The new legislation clarifies that pole owners currently collecting a fee from ratepayers for utility pole replacements cannot shift the cost burden to broadband service providers and, instead, must divide the expenditure in a fair and equitable manner. In addition to reducing costs, the measure simplifies pole contracting for providers and municipalities by placing all utility poles in a given city, town, or village under one contract, thereby creating a more efficient system for providers to expand broadband service. Regulations previously required broadband providers to obtain contracts for each utility pole they intended to use.




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