Arizona 2023 2023 Regular Session

Arizona Senate Bill SB1106 Comm Sub / Analysis

Filed 06/29/2023

                    Assigned to TAT 	AS VETOED 
 
 
 
 
ARIZONA STATE SENATE 
Fifty-Sixth Legislature, First Regular Session 
 
VETOED 
 
AMENDED 
FACT SHEET FOR S.B. 1106 
 
social media platforms; standards; notification 
Purpose 
Establishes standards for a social media platform relating to deplatforming candidates, 
penalties for state employees, legal remedies to a violation of standards and publishing 
requirements. 
Background 
A social media platform is an organization that provides a service for public users to 
disseminate speech, expression, information or other content to other users or the public and 
includes both the organization and any of its officers, agents, employees, contractors or any other 
person employed by or acting on behalf of the platform, as well subcontractors or entities used to 
conduct fact-checking or any other activities relating to content modulation. 
The federal Communications Decency Act of 1996 prohibits the provider or user of an 
interactive computer service from being held liable on account of any action: 1) voluntarily taken 
in good faith to restrict access to or availability of material that the provider or user considers to 
be obscene, excessively violent, harassing or otherwise objectionable, whether or not such material 
is constitutionally protected; or 2) taken to enable or make available to information content 
providers or others the technical means to restrict access to this material. An interactive computer 
service is any information service, system or access software provider that provides or enables 
computer access by multiple users to a computer server (47 U.S.C. § 230). 
There is no anticipated fiscal impact to the state General Fund associated with this 
legislation. 
Provisions 
Deplatforming Standards 
1. Allows, during the duration of candidacy, a social media platform to deplatform an individual 
that the platform knows to be a candidate, as allowed under the federal Communications 
Decency Act of 1996.  
2. Specifies that the duration of candidacy begins on the date of the candidate's qualification and 
ends on the date of election or the date the candidate ceases to be a candidate.  
3. Requires a social media platform to publish the standards that the platform uses to determine 
how it will deplatform users.  FACT SHEET – Amended/Vetoed 
S.B. 1106 
Page 2 
 
 
4. Specifies that the published deplatforming standards must include detailed definitions. 
5. Allows the Secretary of State (SOS), if the SOS finds that a social media platform violates the 
deplatforming standards for candidates, to impose a civil penalty of:  
a) $250,000 per day for deplatforming a candidate for statewide office; and  
b) $25,000 per day for deplatforming a candidate for any other office.  
6. Subjects an employee who violates social media platform standards to removal from state 
service, reduction in grade, debarment from state employment for up to five years, suspension, 
reprimand or a civil penalty of up to $1,000. 
7. Specifies that social media platform standards do not prohibit an employee from engaging in 
lawful actions within the employee's official authority to either: 
a) exercise legitimate law enforcement functions directly related to activities to combat child 
pornography, human trafficking or the illegal transporting of, or transacting in, controlled 
substances; or 
b) safeguard or prevent the unlawful dissemination of properly classified state security 
information.  
Definitions 
8. Defines social media platform as a public or semipublic internet-based service or application 
that: 
a) operates as a sole proprietorship, partnership, limited liability company, corporation, 
association or other legal entity;  
b) does business in Arizona;  
c) has annual gross revenues of more than $100,000,000 directly from platform operations 
and not from selling goods and services and has at least 100,000,000 monthly individual 
platform participants globally; 
d) primarily functions to connect users in order to allow users to interact socially with each 
other within the platform, excluding email or direct messaging services as primary 
functions; and 
e) allows users to create a public or semipublic profile to log in and use the platform, populate 
a public list of other users with whom an individual shares a social connection within the 
platform and post content that is viewable by other users.  
9. Specifies that, for the definition of social media platform, the annual gross revenue is adjusted 
in January of each odd-numbered year to reflect any increase in the consumer price index. 
10. Excludes, from the definition of social media platform, a broadband internet access service 
provider or an online service, application, cloud services provider or website: 
a) that consists primarily of news, sports, entertainment, e-commerce or information or 
content that is not user-generated but is preselected by the provider; and 
b) for which any chat, comments or interactive functionality is incidental to, directly related 
to or dependent on the provision of preselected content. 
11. Excludes, from the definition of social media platform, cloud storage, shared document 
collaboration and other cloud computing services.  FACT SHEET – Amended/Vetoed 
S.B. 1106 
Page 3 
 
 
12. Defines censor as any action taken by a state employee in the employee's official capacity to: 
a) delete, regulate, restrict, edit, alter, inhibit the publication or reproduction of, or suspend a 
right to post, remove or post an addendum to any content or material posted by a user; 
b) inhibit the ability of a user to be viewable by or to interact with another user of the social 
media platform; or 
c) add or take away credibility to political speech that could have the effect of swaying 
political views, including fact-checking, issuing warnings, flagging, highlighting or 
cautioning users to believe or disbelieve content based on political views. 
13. Defines deplatform as the act or practice by a social media platform of permanently or 
temporarily deleting or banning a user for more than 14 days from the platform. 
14. Defines user as a person who resides or is domiciled in Arizona and who has an account on a 
social media platform, regardless of whether the person posts or has posted content or material 
to the platform.  
15. Defines algorithm as a mathematical set of rules that: 
a) specifies how a group of data behaves and that will assist in ranking search results and 
maintaining order; or  
b) is used in sorting or ranking content or material based on relevancy or other factors instead 
of using published time or chronological order of the content or material. 
16. Defines postprioritization as any action taken by a social media platform to place, feature or 
prioritize certain content or material ahead of, below or in a more or less prominent position 
than other content or material in a newsfeed, feed or view or in search results.  
17. Excludes, from the definition of postprioritization, any action taken by a social media platform 
to place, feature or prioritize the content and material of a third party, including other users, 
based on payments by that third party to the platform.  
18. Defines journalistic enterprise as an entity doing business in Arizona that: 
a) publishes more than 100,000 words that are available online with at least 50,000 paid 
subscribers or 100,000 monthly active users; 
b) publishes at least 100 hours of audio or video that is available online with at least 
100,000,000 viewers annually; 
c) operates a cable channel that provides more than 40 hours of content per week to more than 
100,000 cable television subscribers; or 
d) operates under a broadcast license issued by the Federal Communications Corporation.  
19. Defines candidate. 
20. Makes conforming changes. 
21. Becomes effective on the general effective date.  
Amendments Adopted by Committee of the Whole 
1. Adds exceptions to the definition of social media platform.  
2. Makes conforming changes.  FACT SHEET – Amended/Vetoed 
S.B. 1106 
Page 4 
 
 
Amendments Adopted by the House of Representatives 
1. Allows a social media platform to deplatform, rather than prohibits a platform from willfully 
deplatforming, a candidate.  
2. Requires a social media platform to publish the standards it uses, rather than uses or has used, 
for determining how it will deplatform, rather than how it will deplatform, censor and shadow 
ban, the platform's users.  
3. Adds penalties for an employee who violates social media platform standards. 
4. Specifies that social media platform standards do not prohibit an employee from engaging in 
lawful actions within the employee's official authority, as specified. 
5. Adds, to the definition of social media platform, a service or platform that:  
a) primarily functions to connect users to interact socially, excluding email or direct 
messaging services; and  
b) allows users to create a profile, populate a public list and post content. 
6. Modifies the definition of social media platform to: 
a) be a public or semipublic internet-based service or application, rather than an information 
service, system, internet search engine or access software provider; 
b) meet both the annual revenue and monthly participant requirements, rather than the revenue 
or participant requirement;  
c) specify that annual gross revenue must be directly from the operation of the platform and 
not from the selling of goods and services; and 
d) exclude cloud storage, shared document collaboration and other cloud computing services. 
7. Excludes, from the definition of social media platform, a broadband internet access service 
provider or cloud services provider, as prescribed, and e-commerce that is preselected by the 
provider.  
8. Removes, from the definition of social media platform, that a social media platform provides 
or enables computer access by multiple users to a computer server, including an internet 
platform or a social media site. 
9. Modifies the definition of censor to be any action taken by a state employee in the employee's 
official capacity, rather than any action taken by a social media platform. 
10. Removes the definition of shadow ban. 
11. Makes technical and conforming changes. 
Governor's Veto Message 
 The Governor indicates in her veto message that S.B. 1106 does not attempt to solve the 
real problems that social media platforms create. 
  FACT SHEET – Amended/Vetoed 
S.B. 1106 
Page 5 
 
 
Senate Action 	House Action 
TAT 2/6/23 DP 4-3-0 COM 3/28/23 DPA 6-4-0-0 
3
rd
 Read 2/21/23  16-13-1 3
rd
 Read 5/15/23  31-27-1-0-1 
Vetoed by the Governor 6/20/23 
Prepared by Senate Research 
June 29, 2023 
KJA/CB/sr