California snubs cable lobby with bill to boost ISP competition in rental housing

In a bold move to enhance competition among Internet service providers (ISPs), California's legislature has passed a significant bill aimed at empowering renters. This new legislation enables tenants to opt out of mandatory bulk-billing contracts that typically bind them to a single ISP. Under the new law, which is set to take effect by January 1, landlords will be required to permit tenants to decline subscription services from third-party ISPs linked to their rental agreements. If landlords refuse to comply, tenants will have the right to deduct the subscription costs from their rent, with protections against any retaliatory actions by landlords. The bill gained momentum in the state Senate, passing with a decisive 30-7 vote and previously receiving unanimous approval from the Assembly at 75-0 in April. Now, it awaits the endorsement of Governor Gavin Newsom to be enacted. Assemblymember Rhodesia Ransom, who spearheaded the initiative, expressed optimism about its future. Despite opposition from lobbyists representing ISPs and real estate interests, Ransom believes that the governor will recognize the importance of tenant protections that this bill offers. "I strongly believe that the governor is going to look at what this bill provides as far as protections for tenants and sign it into law," she stated in a recent interview. Ransom also addressed misleading claims from lobby groups that bulk billing leads to lower prices for tenants. She emphasized that this legislation is not about banning bulk billing or capping profits; rather, it’s about ensuring that renters have the autonomy to choose their Internet services. "This is kind of like a first step in trying to give this industry an opportunity to just treat people fairly," she remarked. "What we're saying here with this bill is that if a tenant wants to opt out of the arrangement, they should be allowed to opt out."