Vermont’s comprehensive data privacy bill “creates an unnecessary and avoidable level of risk,” said Gov. Phil Scott (R) Thursday as he vetoed H-121. It was a win for tech industry opponents (see 2405300038) and a setback for consumer group supporters of the bill that would have made Vermont the first state with a broad private right of action (PRA). It's possible, however, for lawmakers to override Scott’s veto with a two-thirds vote in each chamber. Also Thursday, the Rhode Island legislature approved a privacy bill that consumer groups say is too weak.
The FTC’s merger guidelines will become “useless” if they are rescinded each time an opposing party takes power, FTC Commissioner Andrew Ferguson said Thursday.
A California bill that would force tech platforms to pay for news content would undermine the independence of journalists by making them “dependent on government handouts,” NetChoice said Wednesday. Tech associations oppose the California Journalism Preservation Act (AB-886), a bill the Assembly approved, but the Senate failed to pass in 2023. The bill was re-referred to the state's Senate Judiciary Committee on Monday and is scheduled for a June 25 hearing. Assemblymember Buffy Wicks (D) introduced the legislation. Nothing in the bill ensures news organizations will use the proceeds to better fund journalism efforts, Vice President Carl Szabo said. In addition, it would let the government decide who’s a journalist, while forcing companies like Reddit and Pinterest to pay millions to major news companies, he said.
The California Public Utilities Commission could collect feedback this fall on whether to revise its carrier of last resort (COLR) rules, according to a proposed decision released Monday. The CPUC plans a June 20 vote on opening a rulemaking to weigh possible changes to COLR rules, along with a related item that would deny COLR relief to AT&T (see 2406050016 and 2405310029), a meeting agenda also posted Monday said. “In general, the purpose of this proceeding is to consider whether the Commission should revise its COLR rules and, if yes, what those revisions should be,” the CPUC draft said. The proposed rulemaking would adopt “a rebuttable presumption that the COLR construct remains necessary, at least for certain individuals or communities in California,” it said. Among other questions, the CPUC would ask if there are areas that may no longer require a COLR, if it should require VoIP or wireless providers to be COLRs, and if it should revise rules on how current COLRs may shed those obligations. If approved by the California commissioners, comments would be due Sept. 30, replies Oct. 30.
Four tech industry groups on Tuesday joined in opposing a kids’ social media legislative proposal advancing in Pennsylvania, despite support from their member Google (see 2406060062). The Computer and Communications Industry Association, NetChoice, TechNet and Chamber of Progress oppose the Online Safety Protection Act (HB-1879). Pennsylvania’s House Children and Youth Committee voted 15-9 to pass the bill Tuesday, with one Republican in favor. The legislation would require online platforms consider the “best interests of children” when developing products and features “children are likely to access.” Violators would face potential civil penalties enforced by the attorney general. CCIA and NetChoice have argued similar measures passed in California, Maryland and Vermont are unconstitutional, given the free speech implications for children. Committee staff on Tuesday listed Google as a supporter and the four associations as opponents. Google previously declined comment on why it supports the measure, and the company didn’t comment Tuesday. Chair Donna Bullock (D), who wrote the bill, successfully passed an amendment Tuesday with new language meant to address critics’ concerns about “vague” wording outlining what keeping children’s “best interests” in mind means. However, Rep. Charity Grimm Krupa (R) said the amendment fails to address concerns from Attorney General Michelle Henry (D) about enforceability. Krupa said she agrees with ranking member Barry Jozwiak (R), who previously said the bill is unenforceable due to its “overly broad” terms and definitions. The measure's intent is “good,” but sponsors haven’t addressed issues raised by Jozwiak, Henry and the industry groups, she said. Henry’s office didn’t comment Tuesday. Bullock said parents have an obligation to show children how to use social media platforms safely, but they can’t “do it alone.” Parents don’t understand every aspect of the technology and what’s “happening behind the scenes,” she said. Platforms should make these services “age-appropriate” and prioritize the safety of children over profits, she added.
Congress should create a federal commission to examine how law enforcement can better detect and prosecute AI-driven child abuse online, attorneys general from 41 states, the District of Columbia, Guam and the U.S. Virgin Islands wrote Monday. California, Mississippi, Colorado, Arkansas, New York, Utah and Maryland were among the AGs supporting the Child Exploitation and Artificial Intelligence Expert Commission Act (HR-8005). Introduced by Rep. Nicholas Langworthy, R-N.Y., HR-8005 is co-sponsored by 16 House members, including seven Democrats. “We are hopeful the creation and work of this commission will result in appropriate safety measures and updates to existing laws, so we can protect children from being digitally exploited and hold criminals accountable,” the AGs wrote.
The FCC urged the 6th U.S. Circuit Appeals Court Friday to move the challenge to the FCC’s net neutrality order to the D.C. Circuit (docket 24-3450). The FCC also issued an order declining to stay the rules, which take effect July 22, pending judicial review.
California could soon release more than $100 million in last-mile broadband grants through the California Public Utilities Commission's federal funding account (FFA), the CPUC said Friday. Three projects in Plumas County will receive $16.7 million through staff-delegated authority, the CPUC said. In addition, commissioners will consider two draft resolutions for an additional $88.6 million in awards at a July 11 meeting, the agency said. Draft resolution T-17826 recommends $44.1 million for unserved areas in Imperial, Lassen and Plumas counties. The Golden State Connect Authority and Plumas-Sierra Telecommunications would build the networks. Draft resolution T-17829 recommends $44.4 million for unserved areas in Alameda, San Francisco and Sierra counties. The awardees in that draft would be Plumas-Sierra and the cities of Oakland, Fremont and San Francisco. The CPUC has $2 billion available in the FFA and received applications requesting more than $4.6 billion total, the agency said. California Assembly Communications Committee Chair Tasha Boerner Horvath (D) raised concerns earlier this week about CPUC delays getting last-mile grants using 2021 American Rescue Plan Act dollars out the door (see 2406050065).
The California Public Utilities Commission may vote July 11 on a proposed decision related to ratemaking for small local exchange carriers. It would respond to Calaveras Telephone and other small LECs’ September 2022 application seeking approval to establish cost of capital for each company’s ratemaking purposes (see 2306070065). Cost of capital is the rate of return a company may recover on infrastructure investments. The CPUC draft would establish a cost of capital for 2022-2025. “To arrive at the Cost of Capital for the Small LECs, this decision adopts a hypothetical capital structure” of 55% equity and 45% debt, “which we find to be consistent with our findings with respect to the regulatory capital structure of these companies,” the draft said.
The Cybersecurity and Infrastructure Security Agency should consider allowing state and local governments to voluntarily comply with new rules under a 2022 cyber incident reporting law, the National Association of Secretaries of State told CISA in comments due last week. CISA is finalizing rules for the Cyber Incident Reporting for Critical Infrastructure Act, with requirements for critical infrastructure owners and operators (see 2203160051). The agency posted comments through Thursday. NASS membership includes top state election officials from 40 states and territories, including Alabama, California, Colorado, Florida and New York. Its comments note that state and local election officials share cyber information with CISA on a "well-functioning,” voluntary basis. Industry groups asked CISA in the past for narrow rules and to avoid overly burdensome reporting requirements for companies (see 2211290071). NASS is “concerned” the proposed rules may “disincentivize” state and local officials from participating in their “well-functioning voluntary partnership.” It continued, “CISA should prioritize continuing to maintain this voluntary partnership over imposing requirements on SLTT government entities.” The proposed rules are “overly broad and would strain the resources of SLTT government entities during a critical time for cyber incident response.” The incident reports would require hours or staff time, which is “challenging for state government entities and potentially impossible for many small local jurisdictions,” NASS said.