Oregon House passes bill to require net neutrality within government contracts

A bill that would block state and local governments from contracting with internet service providers that don't practice net neutrality principles passed the Oregon House Monday in a rebuke of a recent Federal Communication Commission decision.

Disallowed practices for those providers would include engaging in paid prioritization, blocking content, favoring some internet traffic above others and unreasonably interfering with the ability of people to make online devices or apps.

House Bill 4155 received bipartisan support with a 40-17 vote and now heads to the Senate.

Protecting an open and equal internet for Oregonians received support during debate on the House floor from even those who would eventually vote "no" — their concern being that this bill was the wrong path.

A proposed Republican alternative would have created a task force to study the issue, though Democrats weren't keen on waiting.

"There is urgency around this issue, there is not time to wait, to study," said House Democratic Leader Jennifer Williamson, D-Portland. "We have until April 23 until our net neutrality rules are gone."

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The FCC voted in December to repeal those net neutrality rules, which prevent internet providers like Verizon and AT&T from slowing down or blocking specific websites or charging fees based on internet speed.

Some praised the FCC decision as needed deregulation of the industry, while net neutrality proponents warned that it could lead to "fast lanes" and "slow lanes" online and even censorship.

The new rules were published in the Federal Register on Thursday, starting a 60-legislative day countdown within which Congress could vote to block the ruling. The date Williamson referenced is not certain, however, due to additional paperwork filings and what constitutes a "legislative day."

The posting of the rules also made it possible for Oregon to join 21 other states and the District of Columbia in a new lawsuit.

Filed Thursday, petitioners asked the court to find the decision violated federal law and to place a hold on the order. It is similar to the lawsuit filed in January by those same states, though that was largely to ensure judicial procedure.

House Republican Leader Mike McLane, R-Powell Butte, said these complicating factors, and the need to ensure the Legislature's decision is sound, are what led him to suggest a task force instead.

He said he supports net neutrality in concept and doesn't want anything getting between people and information, but HB 4155 is the wrong way to achieve that. He warned that the desire to rush to protect consumers could lead to bad or unnecessary policies.

"I want it so much that I want to make sure we get this right," McLane said.

After his minority report was struck down, he voted against the bill.

Both sides pointed out during debate that this bill wouldn't actually implement any net neutrality rules, but instead use the market power of state and local governments to require certain things of contracted providers.

The law would become operative in January 2019 and apply to new or renewed contracts from that point forward.

Rep. Julie Parrish, R-West Linn, said adding these provisions to the requirements for contract bidding could have the unintended effect of dissuading possible providers from offering bids at all.

If providers don't offer services, rural communities get hurt.

"At the end of the day, this is a procurement bill," Parrish said. "When we say 'you shall procure x' and 'x' does not exist on the market, or a service provider chooses not to show up, we are actually potentially putting communities at risk."

There was an underlying constitutional element to the debate as well. Federalism came up more than once, as did the 1st Amendment.

Rep. Paul Evans, D-Monmouth, argued that the internet is the "public square" of the 21st century, and putting barriers in place violates the spirit of the right of the people to peaceably assemble.

And while Oregon's position or actions on this issue may not swing opinions nationwide, Evans said, aligning the state with the values it claims to support is important.

"I am proud, as an Oregonian, that throughout our history we have been at the forefront of so many things," Evans said. "Net neutrality offers us another opportunity to be at the forefront of fighting for a more just and equal state."

Contact the reporter at cradnovich@statesmanjournal.com or 503-399-6864, or follow him on Twitter at @CDRadnovich

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