Texas Senate Bill SB985

Texas 2011 - 82nd Regular

• Out of Senate Committee: 3/31/11
• Introduced: 2/28/11
• Voted on by Senate: 4/21/11
• Refer: 3/8/11
• Engrossed: 4/21/11
• Refer: 4/26/11

Caption

Relating to the regulation of Voice over Internet Protocol service.

Impact

A significant aspect of SB985 is its stipulation that non-public utility telecommunications providers, including deregulated or transitioning companies, will not be subject to standards that exceed those imposed on public utilities. This provision aims to reduce regulatory burdens on smaller and emerging VoIP providers, potentially fostering innovation and competition in the market for internet-based communication services. Furthermore, the bill explicitly prohibits local and state government entities from regulating rates, service terms, and market entry conditions for VoIP services, which centralizes authority to state-level governance.

Summary

Senate Bill 985 outlines the regulation of Voice over Internet Protocol (VoIP) services in Texas, amending the Utilities Code to define and categorize these services. The bill establishes a clear framework for VoIP, which includes aspects such as real-time, two-way voice communication enabled via broadband connections. By defining essential terms like 'Internet Protocol enabled service' and 'Voice over Internet Protocol service', SB985 provides clarity on the regulatory environment for companies offering these types of telecommunications services.

Contention

Despite its intent to streamline regulations, SB985 has faced challenges surrounding consumer protection and the potential risks of limiting local governance. Critics argue that by restricting local authority, the bill could lead to diminished consumer protections, particularly in terms of service quality and equitable access to broadband infrastructure. This concern reflects a broader apprehension about the balance between fostering an innovative telecommunication environment and ensuring that consumer rights and local needs are adequately addressed.