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Bill > S01060


NY S01060

NY S01060
Limits certain charging practices by companies that provide prepaid telephone calling cards and increases fines for violations of limitation requirements.


summary

Introduced
01/08/2025
In Committee
01/07/2026
Crossed Over
06/06/2025
Passed
Dead

Introduced Session

2025-2026 General Assembly

Bill Summary

AN ACT to amend the public service law, in relation to limiting certain charging practices by companies that provide prepaid telephone calling cards and increasing fines for violations of limitation requirements

AI Summary

This bill aims to regulate prepaid telephone calling card companies by establishing three key consumer protections: First, companies cannot round up usage charges beyond the next minute for phone calls, meaning customers will only be charged for the exact minutes they use. Second, companies are prohibited from charging minutes for unconnected calls, such as dropped calls, unanswered calls, or calls that receive a busy signal. Third, companies cannot advertise plans or calling cards as having "no connection fee" if they simultaneously charge a disconnection fee, which is intended to prevent misleading marketing practices. Additionally, the bill increases enforcement penalties, raising the maximum fine from one thousand to five thousand dollars for a first violation and introducing a new ten thousand dollar fine for subsequent violations. These penalties will be assessed by the state commission and paid into the state treasury's general fund. The bill will go into effect 120 days after becoming law, giving prepaid calling card companies time to adjust their practices to comply with the new regulations.

Committee Categories

Agriculture and Natural Resources, Government Affairs, Transportation and Infrastructure

Sponsors (1)

Last Action

REFERRED TO ENERGY AND TELECOMMUNICATIONS (on 01/07/2026)

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