New York "exercised its police powers to protect its most vulnerable residents" when it required affordable internet plans, said Attorney General Letitia James (D) Monday. The AG opposed (in Pacer) ISP groups asking the U.S. District Court for Eastern New York (case 21-cv-2389) to stop the state law taking effect June 15 (see 2104300065). ISP plaintiffs “overstate the effect of federal statutes and regulations, which expressly preserve rather than displace the States’ exercises of their police powers,” said James. This isn’t rate regulation but "an accessibility requirement,” the AG said. Don't OK a preliminary injunction, she asked.

Broadband bills advanced in several states this week. The Arizona legislature passed a bill (HB-2596) authorizing the state transportation department to install telecom facilities on highways. The House voted 60-0 to concur with the Senate, which voted 30-0. The Ohio House voted 91-4 to concur with the Senate on a proposal (HB-2) to set up a $20 million state grant program for residential expansion, allow electric cooperative easements to be used for broadband, and set up a process for granting telecom companies access to electric co-op poles. Montana Gov. Greg Gianforte (R) received a bill (SB-297) from the legislature to set up an infrastructure funding program using American Rescue Plan Act and state funding. Lawmakers also sent him a bill (HB-181) to redirect 25% of $1 million in annual school technology funding to a state matching fund for the federal E-rate broadband program, and a measure (SB-81) to require prepaid wireless to collect state 911 fees.

A Louisiana House panel spiked a bill to allow private suits against social media companies that delete or censor a user’s religious or political speech. At a livestreamed Monday hearing, Commerce Committee Chairwoman Paula Davis (R) joined the 9-4 vote to involuntarily defer the bill (HB-602) by Rep. Beryl Amedee (R) to allow users to collect up to $75,000 in damages from websites. It was involuntary because Amedee didn’t request deferment; the proposal may only be reheard if two-thirds of the committee supports it. Amedee said she personally experienced censorship when Facebook deleted the second half of her pastor’s sermon during the pandemic. The state may step in because the largest sites are monopolies and effectively acting as public town squares, she said. The legislation isn’t meant to spur much litigation but to push back against large platforms, she said. Democrats slammed the bill. “The fact that I have about $150,000 in law school debt shows me that this bill is unconstitutional,” said Rep. Kyle Green (D). Rep. Royce Duplessis (D) chided that he “didn’t realize” the First Amendment “extended to private entities.” Social media companies have a First Amendment right to moderate content, testified James Hines, Internet Association state government affairs director-southern region. “Companies are not perfect ... but they’re doing their best to be a place where ideas can flourish and where they also enforce community standards and promote a positive experience.” The bill doesn’t promote conservative or Republican values and “would have the unintended consequence of creating content cesspools,” said NetChoice counsel Chris Marchese. Allowing up to $75,000 in damages will incentivize litigation, he said. Chris Sevier, a national anti-pornography advocate seen in other state legislatures backing bills to require porn filters (see 1704120070), supported HB-602 and said the bill is constitutional. The Florida legislature passed a social media regulation bill last week (see 2104300059).

Stark differences abound between the contract then-Wisconsin Gov. Scott Walker (R) signed with Foxconn in November 2017 to build a Gen 10.5 LCD fab and bring 13,000 jobs to his state (see 1711130023) and the sharply curtailed deal Walker’s successor, Gov. Tony Evers (D), renegotiated with Foxconn this week. Under the contract with Walker, Foxconn would have collected up to $2.85 billion in cash credits from Wisconsin, equaling 15% of what it spent on construction and 17% of its payroll costs, if it brought the project to full-scale operations by 2022. The agreement with Evers caps Foxconn’s cash credits at $80 million, based on a projected workforce of 1,454 employees -- 11% of what the contract envisioned less than four years ago under a different governor. The only constant between the two deals is the $53,875 average wage Foxconn is obligated to pay to qualify for any cash credits. But gone are the aspirations to build the Gen 10.5 fab. In its place is a vague agreement for Foxconn to use its giant campus in southeast Wisconsin for “economic investment activities related to locating and operating a technology and manufacturing ecosystem.” Said Display Supply Chain Consultants President Bob O’Brien, who followed Foxconn’s Wisconsin LCD ambitions closely: “Looks like a big win for the governor, and a sad end to the Eighth Wonder of the World.” That’s how Foxconn and Wisconsin officials had dubbed the project at the 2017 contract signing.

Illinois legislators should support a bill that prohibits app store owners from forcing developers to use exclusive in-app payment systems for collecting user payments, advocates wrote Wednesday. Introduced in March by Democratic Sens. Sara Feigenholtz and Robert Peters, SB-2311 would “protect small businesses, entrepreneurs, and consumers from the harmful gatekeeping powers of large app distributers like Apple’s App Store and Google’s Play Store,” wrote the American Economic Liberties Project, Fight Corporate Monopolies, Color of Change, Fight for the Future, Illinois PIRG, Progressive Change Campaign Committee and Public Citizen. Apple and Google didn’t comment.

A Texas bill to ban large social media sites from censoring people or content based on the poster’s viewpoint passed the state Senate Thursday. Senators voted 18-13 for SB-12, which would allow users to sue to get back online and make the site pay their legal fees. SB-12 also would let the state attorney general sue on behalf of a user or group of users. “Social media companies are the new town square, and a small group of people from San Francisco can’t dictate free speech for the rest of us,” said sponsor Sen. Bryan Hughes (R) in a tweeted video: SB-12 “is going to get Texans back online.” The House received the bill the same day.

Colorado senators supported studying social media regulation. They voted 20-14 Monday for an amended bill (SB-132) to set up a committee to report by Jan. 1 on “whether and how the general assembly could address, through legislation, consumer protection concerns related to digital communications platforms,” including Facebook, Twitter and YouTube. Senate President Pro Tempore Kerry Donovan (D) agreed at an earlier meeting to study rather than to regulate immediately (see 2103230070). The bill goes next to the House.

Colorado Senate President Pro Tempore Kerry Donovan (D) received threats on social media for her proposal to stop hate speech on those platforms, she told a Senate State Committee livestreamed hearing: "This bill is a new idea in an uncomfortable space.” The committee voted 3-2 Tuesday to adopt the bill with an amendment proposed by Donovan to order a study. The original bill (SB-132) would have created a digital communications division and commission to regulate social media platforms. "The division shall investigate and the commission may hold hearings on claims filed with the division alleging that a digital communications platform has allowed a person to engage in one or more unfair or discriminatory digital communications practices on the platform," including hate speech, intentional disinformation and conspiracy theories, it said. Social media companies have been "petulant children" for not acknowledging what happens on their platforms, said Donovan, author of Colorado's 2019 net neutrality law. Their business model is to keep people engaged online and gather their information, she said. "What we are seeing from these social media companies is not a bug." The Senate leader added, "Russia didn't hack Facebook. It just used the platform.” The Internet Association didn't comment Wednesday. Government should “step in and bring an ax down to start protecting consumers,” testified Joe Toscano, a former Google consultant. “We are not their customer. We are their product.” The Computer and Communications Industry Association worried "that Colorado is one of multiple states proposing a patchwork of contradictory regulations. Complying with these would be difficult and costly for all platforms, particularly so for smaller companies." CCIA supports "the decision to study consumer protection concerns related to digital communications platforms," said President Matt Schruers Wednesday. "We encourage the study committee to consult with industry and issue area experts.”