The New York State Public Service Commission (PSC) has reached a settlement agreement with Charter Communications, Inc. requiring the communications company to provide discounted broadband service to low-income customers in the National Free School Lunch Program or receive Supplemental Security Income benefits.
“My administration has been steadfast in its commitment to expand internet service to all New Yorkers, and this settlement directly benefits thousands of low-income New York families,” Governor Kathy Hochul said. “Broadband is crucial to driving economic growth and opportunity for all of our citizens, and we will continue our efforts to provide broadband access across the state.”
Today, the PSC approved an enforcement settlement with Charter, the largest cable provider in the State. Charter Communications, Inc., the parent company of broadband provider Spectrum, operates in 58 out of the 62 counties in New York State. An earlier merger order had a number of enforceable public interest conditions, including a condition that Charter offer a low-income broadband program with download speeds of at least 30 Megabits per second (Mbps) for $14.99 per month.
The Department of Public Service alleged Charter increased the price of its low-income broadband program to $24.99/month at a higher speed of 50 Mbps without Commission approval, in violation of the 2016 merger order. The company disputed the allegations.
The settlement will require Charter to re-establish the program at $15/month for 50 Mbps download speed for four years to New Yorkers in the National Free School Lunch Program or receiving SSI benefits. For years two through four of the program, Charter can’t raise the price by more than the rate of inflation as measured by the Bureau of Labor Statistics’ Consumer Price Index beginning in second year of the program.
Assemblymember Angelo Santabarbara said, “Expanding access to affordable internet is a crucial step in ensuring that all New Yorkers, regardless of income, have the opportunities they need to succeed in today's digital world. This settlement with Charter Communications is significant for low-income families, especially those who depend on the internet for education, health care and job opportunities.
By providing low-cost internet, we're making it possible for more families to stay connected and access the resources they need to thrive. I’m proud to support initiatives like this that work to close the digital divide and create a more equitable future for all New Yorkers.”
