Public Service Commission - Broadband and Voice Over Internet Protocol Service - Study
HB1037 authorizes the Maryland Public Service Commission (PSC) to exercise oversight of broadband service and voice over Internet protocol (VoIP) service, and it directs the PSC to adopt regulations to support that oversight. The bill defines broadband service and VoIP service, allows the PSC to regulate the quality, reliability, and resilience of those services, and requires Internet service providers to submit outage, reliability, pricing, deployment, adoption, and emergency-preparedness information. It also allows the PSC to assess the adequacy of provider emergency plans, conduct evaluations or audits, hold hearings, and require remedial action if a provider’s practices or facilities are found to be unjust, unreasonable, unsafe, improper, or inadequate.
The bill also repeals existing statutory language that had expressly barred the PSC from regulating VoIP service. In addition to the new oversight authority, the PSC must report to the General Assembly on implementation progress and on recommendations for broadband and VoIP oversight. The bill preserves the authority of the Office of Statewide Broadband and allows coordination with that office on data collection. It takes a significant step toward bringing broadband and VoIP services into a more formal state regulatory framework, while leaving open the exact scope of future regulation through the required study and rulemaking process.
HB1037 would amend the Public Utilities Article by adding a new section authorizing PSC oversight of broadband and VoIP services and by repealing the subtitle that previously prohibited PSC jurisdiction over VoIP. It would require providers to submit operational and consumer-facing data, support emergency preparedness and restoration planning, and potentially comply with remedial orders after PSC review. The bill also creates ongoing reporting obligations to the General Assembly and may lead to additional legislative changes depending on the PSC’s study and recommendations.
The bill appears to have generally favorable momentum, as reflected by the committee report of favorable with amendments and the House’s adoption of the bill. The recorded third-reading vote of 101 yeas to 31 nays suggests substantial support, but not unanimity. Overall, the discussion implied by the bill’s structure is oriented toward consumer protection, service reliability, and accountability for broadband providers, with the study component indicating an effort to proceed carefully on the scope of regulation.
The main point of contention is the extent to which the State may regulate broadband and VoIP services without being preempted by federal law. The bill explicitly directs the PSC to study federal jurisdiction and the appropriate regulatory framework, signaling that legal authority and implementation limits are central issues. Another likely area of debate is whether broadband providers should be subject to utility-like oversight, including outage reporting, emergency preparedness requirements, audits, and possible remedial orders, since those obligations could increase compliance costs and expand state regulation of internet services.