SB 3 — AN ACT CONCERNING CONSUMER PROTECTION.

182 shall be used to purchase, operate or repair a small unmanned aircraft system assembled or manufactured by a covered foreign entity.

sSB3LCO /11 Fileof 26 Substitute Bill No.

1823 11(d) sSB3Beginning Fileon No.October 1, 2025, no public entity shall operate a small unmanned aircraft system assembled or manufactured by a covered foreign entity.

182 (d) Beginning on October 1, 2025, no public entity shall operate a small unmanned aircraft system assembled or manufactured by a covered foreign entity.

sSB3LCO /12 Fileof 26 Substitute Bill No.

1823 12(b) sSB3No Fileprovider No.shall allow any person to activate any voice recognition feature of a connected device unless the provider prominently displays to the initial consumer or any person whom the initialconsumer designatesto first installor set uptheconnecteddevice, at the time that such initial consumer or person first installs or sets up such connected device, a statement disclosing:

182 (b) No provider shall allow any person to activate any voice recognition feature of a connected device unless the provider prominently displays to the initial consumer or any person whom the initialconsumer designatesto first installor set uptheconnecteddevice, at the time that such initial consumer or person first installs or sets up such connected device, a statement disclosing:

(e)LCO No13 personof shall26 compelSubstitute aBill connected device manufacturer, or any sSB3 / File No.

1823 13(e) sSB3No Fileperson No.shall compel a connected device manufacturer, or any other person operating a voice recognition feature, to build specific features for the purpose of allowing a law enforcement agency or officer to monitor communications through a voice recognition feature.

182 other person operating a voice recognition feature, to build specific features for the purpose of allowing a law enforcement agency or officer to monitor communications through a voice recognition feature.

(2)LCO "Broadband14 Internetof access26 serviceSubstitute provider"Bill means any person sSB3 / File No.

1823 14(2) sSB3"Broadband FileInternet No.access service provider" means any person who provides broadband Internet access service in this state;

182 who provides broadband Internet access service in this state;

(11) "Paid prioritization" means the management of a broadband Internet access service provider's network to, directly or indirectly, favor some content or traffic over other content or traffic, including, but not limited to, through use of techniques such as traffic shaping, prioritization, resource reservation or any other form of preferential content or traffic management, (A) in exchange for monetary or other consideration from a third party, or (B) to benefit any entity affiliated withLCO the15 broadbandof Internet26 accessSubstitute serviceBill provider;No.

sSB33 /with Filethe No.broadband Internet access service provider;

182(12) 15"Person" sSB3means Filean No.individual, association, corporation, limited liability company, partnership, trust or other legal entity;

182 (12) "Person" means an individual, association, corporation, limited liability company, partnership, trust or other legal entity;

(B)LCO Impairing16 or degrading lawful Internet traffic on the basis of content,26 orSubstitute theBill use of any nonharmful device, subject to reasonable sSB3 / File No.

1823 16(B) sSB3Impairing Fileor No.degrading lawful Internet traffic on the basis of content, or the use of any nonharmful device, subject to reasonable network management practices that such broadband Internet access service provider has disclosed to consumers;

182 network management practices that such broadband Internet access service provider has disclosed to consumers;

Upon receipt of any suchLCO complaint,17 the department shall record such complaint and may, based on such complaint, initiate a review of the26 performanceSubstitute ofBill a sSB3 / File No.

1823 17such sSB3complaint, Filethe No.department shall record such complaint and may, based on such complaint, initiate a review of the performance of a broadband Internet access service provider engaged in the provision of fixed broadband Internet access service or mobile broadband Internet access service.

182 broadband Internet access service provider engaged in the provision of fixed broadband Internet access service or mobile broadband Internet access service.

(g) The terms and definitions of this section shall be interpreted broadly, and any exceptions thereto interpreted narrowly, using relevantLCO Federal18 Communicationsof Commission26 orders,Substitute advisoryBill opinions,No. rulings and regulations as persuasive guidance.

sSB33 /relevant FileFederal No.Communications Commission orders, advisory opinions, rulings and regulations as persuasive guidance.

182Sec. 18 sSB3 File No.

182 Sec.

(2) "Authorized repair provider" (A) means a person who (i) is unaffiliated with a manufacturer, and (ii) has an arrangement with a manufacturer (I) under which the manufacturer grants to the person a license to use a trade name, service mark or other proprietary identifier toLCO offer19 diagnostic,of maintenance26 orSubstitute repairBill services for electronic or appliance products under the manufacturer's name, or (II) to offer diagnostic, maintenance or repair services for electronic or appliance sSB3 / File No.

1823 19to sSB3offer Filediagnostic, No.maintenance or repair services for electronic or appliance products under the manufacturer's name, or (II) to offer diagnostic, maintenance or repair services for electronic or appliance products on behalf of the manufacturer, and (B) includes a manufacturer, with respect to any of such manufacturer's electronic or appliance products, if the manufacturer (i) offers diagnostic, maintenance or repair services for such product, and (ii) does not have an arrangement with an unaffiliated person to diagnose, maintain or repair such product;

182 products on behalf of the manufacturer, and (B) includes a manufacturer, with respect to any of such manufacturer's electronic or appliance products, if the manufacturer (i) offers diagnostic, maintenance or repair services for such product, and (ii) does not have an arrangement with an unaffiliated person to diagnose, maintain or repair such product;

(6)LCO "Fair20 and reasonable terms" means terms that satisfy the requirements established in subdivision (3) of subsection26 (b)Substitute ofBill thisNo. section;

sSB33 /(6) File"Fair No.and reasonable terms" means terms that satisfy the requirements established in subdivision (3) of subsection (b) of this section;

182(7)"Manufacturer"meansthepersonwho 20manufacturesanelectronic sSB3or Fileappliance No.product;

182 (7)"Manufacturer"meansthepersonwho manufacturesanelectronic or appliance product;

(13) "Trade secret" has the same meaning as provided in section 35- 51LCO 21 of the26 generalSubstitute statutes;Bill No.

and3 (14)51 "Videoof gamethe console"general (A)statutes; means any computing device, including, but not limited to, any console machine, handheld console device or similar device or system, that is primarily used by consumers sSB3 / File No.

182and 21(14) sSB3"Video Filegame No.console" (A) means any computing device, including, but not limited to, any console machine, handheld console device or similar device or system, that is primarily used by consumers to play video games, (B) includes, but is not limited to, the components andperipheralsofany computingdevicedescribedinsubparagraph(A) of this subdivision, and (C) does not include any (i) general or all- purpose computing device, (ii) desktop, laptop or tablet computer, or (iii) hand-held mobile telephone, as defined in section 14-296aa of the general statutes.

182 to play video games, (B) includes, but is not limited to, the components andperipheralsofany computingdevicedescribedinsubparagraph(A) of this subdivision, and (C) does not include any (i) general or all- purpose computing device, (ii) desktop, laptop or tablet computer, or (iii) hand-held mobile telephone, as defined in section 14-296aa of the general statutes.

(3) (A) For the purposes of subdivision (1) of this subsection and exceptLCO as22 provided in subparagraph (B) of this26 subdivision,Substitute theBill manufacturerNo. of an electronic or appliance product shall be deemed to have made documentation, functional parts and tools available on fair and reasonable terms if:

sSB33 /except Fileas No.provided in subparagraph (B) of this subdivision, the manufacturer of an electronic or appliance product shall be deemed to have made documentation, functional parts and tools available on fair and reasonable terms if:

182(i) 22Such sSB3manufacturer Filemakes No.such documentation, parts and tools available at costs and on terms that are equivalent to the most favorable costs and terms under which such manufacturer offers such documentation, parts and tools to authorized repair providers, accounting for any discount, rebate, convenient and timely means of delivery, means of enabling fully restored and updated functionality, rights of use or other incentive or preference such manufacturer offers to authorized repair providers;

182 (i) Such manufacturer makes such documentation, parts and tools available at costs and on terms that are equivalent to the most favorable costs and terms under which such manufacturer offers such documentation, parts and tools to authorized repair providers, accounting for any discount, rebate, convenient and timely means of delivery, means of enabling fully restored and updated functionality, rights of use or other incentive or preference such manufacturer offers to authorized repair providers;

(B) If a manufacturer does not use an authorized repair provider, the manufacturer of an electronic or appliance product shall be deemed to haveLCO made23 documentation,of functional26 partsSubstitute andBill toolsNo. available on fair and reasonable terms if such manufacturer makes such documentation, parts and tools available at a price that reflects the actual costs incurred by such manufacturer in preparing and delivering such documentation, parts and tools, excluding any research and development costs.

sSB33 /have Filemade No.documentation, functional parts and tools available on fair and reasonable terms if such manufacturer makes such documentation, parts and tools available at a price that reflects the actual costs incurred by such manufacturer in preparing and delivering such documentation, parts and tools, excluding any research and development costs.

182(c) 23If sSB3a Fileservice No.dealer or service and repair facility is not an authorized repair provider for an electronic or appliance product, the service dealer or service and repair facility shall, before repairing any such product, provide to the customer who requests such repair a written notice disclosing:

182 (c) If a service dealer or service and repair facility is not an authorized repair provider for an electronic or appliance product, the service dealer or service and repair facility shall, before repairing any such product, provide to the customer who requests such repair a written notice disclosing:

(e) No provision of subsections (a) to (d), inclusive, of this section shallLCO be24 construedof to:26 Substitute Bill No.

(1)3 Requireshall thebe manufacturerconstrued ofto: an electronic or appliance product to (A) disclose any trade secret, or license any intellectual property, including, but not limited to, any copyright or patent, unless such disclosure or license is necessary for such manufacturer to comply with sSB3 / File No.

182(1) 24Require sSB3the Filemanufacturer No.of an electronic or appliance product to (A) disclose any trade secret, or license any intellectual property, including, but not limited to, any copyright or patent, unless such disclosure or license is necessary for such manufacturer to comply with the provisions of this section, (B) make available any special documentation, tools or parts that would disable or override antitheft security measures set by the owner of any such product without such owner's authorization, or (C) sell any part if such manufacturer no longer (i) provides such part, or (ii) makes such part available to authorized repair providers;

182 the provisions of this section, (B) make available any special documentation, tools or parts that would disable or override antitheft security measures set by the owner of any such product without such owner's authorization, or (C) sell any part if such manufacturer no longer (i) provides such part, or (ii) makes such part available to authorized repair providers;

or (4) Apply to the manufacturer of an electronic or appliance product if such manufacturer provides to a customer, at no charge to the customer, a replacement electronic or appliance product that is readily availableLCO and25 equivalentof to,26 orSubstitute betterBill than,No. the replaced electronic or appliance product.

3 available and equivalent to, or better than, the replaced electronic or appliance product.

sSB3This /act Fileshall No.take effect as follows and shall amend the following sections:

182 25 sSB3 File No.

182 This act shall take effect as follows and shall amend the following sections:

8 January 1, 2025 New section StatementGL ofJoint LegislativeFavorable Commissioners:Subst.

InJUD SectionJoint 1(b)(5)(B),Favorable "upon"LCO was26 changedof to26 "on" for clarity;

in Section 1(c)(1), "this state" was changed to "the state" for internal consistency;

Section 2(b)(2)(A) was redrafted for clarity and internal consistency;

in Section 2(c)(2), "may modify" was changed to "may authorize a deviation from", and "shall not modify" was changed to "shall not authorize any deviation from" for accuracy;

Section 2(e) was redrafted for clarity;

in Section 3(b)(1)(A), "or" was added after the semicolon for clarity;

in Section 6(a)(8)(B), "and fixed satellite service" was changed to "or fixed satellite service" for accuracy;

Section 6(c)(1)(E) was redrafted for clarity;

in Section 6(c)(2)(A), "informed choices" was changed to "an informed decision" for consistency with standard drafting conventions;

in Section 8(b)(3)(A), "if" was added after "terms" for clarity;

in Sections 8(b)(3)(A)(i) to (iii), "if" was deleted for clarity;

and Section 8(e) was redrafted for clarity.

GL Joint Favorable Subst.

sSB3 / File No.

182 26 sSB3 File No.

182 The following Fiscal Impact Statement and Bill Analysis are prepared for the benefit of the members of the General Assembly, solely for purposes of information, summarization and explanation and do not represent the intent of the General Assembly or either chamber thereof for any purpose.

In general, fiscal impacts are based upon a variety of informational sources, including the analyst’s professional knowledge.

Whenever applicable, agency data is consulted as part of the analysis, however final products do not necessarily reflect an assessment from any specific department.

OFA Fiscal Note State Impact:

Agency Affected Fund-Effect FY 25 $ FY 26 $ Consumer Protection, Dept.

GF - Cost 490,000 478,000 Policy & Mgmt., Off.

GF - Cost 358,600 253,300 State Comptroller - Fringe GF - Cost 301,000 301,000 Benefits1 Various State Agencies Various - Cost None See Below Resources of the General Fund GF - Potential See Below See Below Revenue Gain Note:

GF=General Fund;

Various=Various Municipal Impact:

Municipalities Effect FY 25 $ FY 26 $ Various Municipalities Potential Minimal Minimal Cost Various Municipal Police STATE None See Below Departments MANDATE 2 - Cost Explanation The bill makes various changes to consumer protection statutes resulting in the costs and revenue gains described below.

The bill requires the Department of Consumer Protection (DCP) to 1The fringe benefit costs for most state employees are budgeted centrally in accounts administered by the Comptroller.

The estimated active employee fringe benefit cost associated with most personnel changes is 41.25% of payroll in FY 25.

2State mandate is defined in Sec.

2-32b(2) of the Connecticut General Statutes, "state mandate" means any state initiated constitutional, statutory or executive action that requires a local government to establish, expand or modify its activities in such a way as to necessitate additional expenditures from local revenues.

sSB3 / File No.

182 27 sSB3 File No.

182 establish and administer the Net Equality Program and regulate the broadband internet market resulting in costs to DCP and the State Comptroller.

To meet the requirements of the bill DCP will need to hire six new employees for a salary and other expenses cost of $490,000 in 4 FY 25 and $478,000 in FY 26, along with corresponding fringe benefit costs of $197,000 per year.

The agency does not have expertise in this area and the new employees are needed to develop procedures and a regulatory framework for the market, monitor compliance, receive and investigatecomplaints,andenforceanyunfairtradepracticeviolations.

5 Section 4 results in a cost to the Office of Policy and Management (OPM) beginning in FY 25 for personnel, training and supplies, and a consultant.

The section also results in a minimal potential revenue gain to OPM and corresponding minimal potential cost to municipalities beginning in FY 25.

Lastly, there is a cost to various state and municipal agencies starting in FY 26.

The section places various requirements on OPM regarding any public entity's use of small, unmanned aircraft systems beginning in FY 25.

This results in a cost to OPM of approximately $253,300 in both FY and FY 26 for three additional positions and training and supplies, a one-time cost of $5,300 for equipment in FY 25, and a one-time cost of $100,000 for a consultant in FY 25.

There is also a corresponding cost to the Office of the State Comptroller of $104,000 in both FY 25 and FY 26 for associated fringe benefits.

The section also requires public entities that (1) are seeking a waiver of the prohibitions on small, unmanned aircraft systems to submit an application and an application fee of $40 to OPM and (2) are operating these aircraft systems to submit a plan to discontinue operation and a processing fee of $20.

This results in a potential cost to various municipalities that use these small, unmanned aircraft systems for 3The new employees consist of four special investigators and two staff attorneys.

4The cost is higher in FY 25 due to one-time other expenses costs (i.e.

laptops) for the six new employees.

The bill creates three new unfair trade practice violations.

sSB3 / File No.

182 28 sSB3 File No.

182 waiver and processing fees and a corresponding revenue gain to OPM beginning in FY 25.

Section 4 also results in a cost to various state and municipal agencies starting in FY 26 by prohibiting public entities from operating drones assembled or manufactured in China or Russia, resulting.

Most drones currently used by first responder organizations are made in China.

State-wide, such organizations have spent about $1-2 million on drones this bill prohibits.

The cost of replacing these drones to achieve equivalent capabilities is estimated to be two to three times greater than amounts previously spent.

Section 6 allows DCP to assess a civil penalty of up to $10,000 for violations by broadband internet access service providers resulting in a potentialrevenue gainto thestate totheextent violationsoccur andcivil penalties are assessed.

The Out Years The annualized ongoing fiscal impact identified above would continue into the future subject to employee wage increases and the number of violations.

sSB3 / File No.

182 29 sSB3 File No.

182 OLR Bill Analysis sSB 3 AN ACT CONCERNING CONSUMER PROTECTION.

TABLE OF CONTENTS:

SUMMARY § 1 — PUBLIC POLICY ON BROADBAND INTERNET ACCESS Declares the state’s public policy for digital equity and broadband Internet access § 2 — NET EQUALITY PROGRAM Requires DCP to develop, establish, and administer the Net Equality Program;

prohibits most state agencies from doing business with noncompliant service providers § 3 — TOTAL PRICE DISCLOSURE Requires businesses advertising, displaying, or offering any consumer good or consumer service in the state to include all fees, charges, and costs, other than taxes, in the total price, and prohibits deceptive fees § 4 — DRONES FROM CERTAIN FOREIGN ENTITIES PROHIBITED Generally prohibits, beginning on October 1, 2024, a public entity from purchasing a drone assembled or manufactured by a covered entity (e.g., China or Russia);

beginning October 1, 2025, prohibits public entities from operating these drones § 5 — VOICE RECOGNITION FEATURE DISPLAYS AND DISCLOSURES Requires (1) connected device providers (e.g., cellular phone manufacturers) to prominently display and disclose certain information about the device’s voice recognition feature before activating the feature and (2) anyone who records and transmits any personally identifying information collected through a connected device’s microphone to use reasonable security measures;

deems a violation a CUTPA violation sSB3 / File No.

182 30 sSB3 File No.

182 § 6 — NET NEUTRALITY COMPLIANCE Requires DCP to develop a procedure to certify that broadband Internet access service providers are abiding by recognized net neutrality best practices while providing service to consumers in the state § 7 — STREAMING SERVICE CANCELLATIONS Prohibits a streaming service provider from charging a subscriber for any streaming service after the date the subscriber cancels the service and requires the provider to give a pro rata rebate for unused days after cancellation § 8 — RIGHT-TO-REPAIR Requires certain electronic or appliance manufacturers to make available, on fair and reasonable terms, products’ repair manuals, functional parts, and tools;

deems a violation a CUTPA violation BACKGROUND SUMMARY This bill makes various unrelated changes to consumer protection.

Among other things, it:

1.

declaresit thepublicpolicy ofthestatetoensure (a)digitalequity for all residents and (b) that all residents have access to broadband Internet access service that meets specified criteria (§ 1);

2.

requires the Department of Consumer Protection (DCP) to develop, establish, and administer the Net Equality Program (§ 2);

3.

prohibits businesses that offer to sell, lease, or provide consumer goods or services to consumers from advertising, displaying, or offering them for a price that does not include all fees, charges, or costs, excluding applicable taxes (§ 3);

4.

generally prohibits, beginning on October 1, 2024, a public entity from purchasing a drone assembled or manufactured by a covered entity (e.g.,Chinaor Russia) andthenbeginning October sSB3 / File No.

182 31 sSB3 File No.

182 1, 2025, prohibits their operation (§ 4);

5.

establishes requirements on entities that provide, or collect information from, voice recognition features on Internet- connected devices that have microphones (e.g., cellular telephones) (§ 5);

6.

requires DCP to develop, by January 1, 2026, a procedure through which a broadband Internet access service provider that provides fixed or mobile broadband Internet access service in the state must submit to DCP, at least annually, a registration and certification that the provider complies with the bill’s net neutrality principles (§ 6);

7.

prohibits a streaming service provider from charging a subscriber after cancellation and requires the provider to give a pro rata rebate for unused days (§ 7);

and 8.

requires certain electronic or appliance manufacturers to make available,onfairandreasonableterms,products’ repairmanuals, functional parts, and tools (§ 8).

EFFECTIVE DATE:

Various;

see below.

§ 1 — PUBLIC POLICY ON BROADBAND INTERNET ACCESS Declares the state’s public policy for digital equity and broadband Internet access This bill declares it the public policy of the state to ensure (1) digital equity for all residents and (2) that all residents have access to broadband Internet access service that meets specified criteria.

By law, “digital equity” is when all individuals and communities have the information technology capacity to participate in society, democracy, and the state’s economy (CGS § 16-330a).

Under this declared public policy, the broadband Internet access service available to residents must do the following:

1.

be sufficient, reliable, and fast enough to facilitate economic prosperity, education,government,healthcare, andpublicsafety;

sSB3 / File No.

182 32 sSB3 File No.

182 2.

be commonly available everywhere in the state and on tribal land;

3.

be affordable regardless of a resident’s household income or location in the state;

4.

provide educational opportunities and support digital skills proficiency to ensure residents have access to opportunities to thrive in a digital world;

5.

ensure public safety and assure residents that they have reliable access to emergency response and emergency alert system services in the event of emergencies or disasters;

6.

improve residents’ quality of life by advancing their economic status through access to educational, health care, and new job opportunities;

7.

support economic prosperity by ensuring that all entrepreneurs, workers, businesses, employers, enterprises, and start-ups have access to broadband Internet access service that optimizes the value of their contributions to the economy so that Connecticut remains economically competitive on the global stage;

8.

attract capital investment to the state;

9.

support innovation and research in Connecticut by ensuring that broadbandInternet infrastructure connectsallresearchintuitions in the state to sustain world-class research and innovation that drives economic prosperity;

and 10.

empower and enable participation in the democratic process so that all residents can participate in government, online educational opportunities, and telehealth activities for their quality of life and public safety.

The bill also declares the following as the public policy of the state:

1.

determining minimum speeds for broadband Internet access sSB3 / File No.

182 33 sSB3 File No.

182 service should be performance based to support online educational opportunities, telehealth, and remote work by a majority ofhouseholds simultaneously,withtheassumptionthat there is an increasing need for symmetrical network speeds;

2.

public broadband investments are prioritized to connect entire communities and address digital redlining in historically unserved and underserved communities;

and 3.

to the extent technically feasible, allow all broadband Internet access service subscribers, within a service provider’s territory, to be able to subscribe to a service with comparable (to other subscribers) capacities, latency, speeds, and quality-of-service metrics and on comparable terms and conditions.

The bill specifies that it does not create a private right of action against the state to enforce any of the above provisions or oblige the state to enforce any of them.

EFFECTIVE DATE:

Upon passage § 2 — NET EQUALITY PROGRAM Requires DCP to develop, establish, and administer the Net Equality Program;

prohibits most state agencies from doing business with noncompliant service providers The bill requires DCP to develop, establish, and administer the Net Equality Program.

The program must monitor progress toward meeting the objectives of ensuring that at least (1) 90% of eligible households receive affordable broadband Internet access service (i.e., affordable broadband) by January 1, 2025, and (2) 95% of eligible households receive affordable broadband by January 1, 2028.

Definitions Under the bill, “affordable broadband Internet access service” is broadband Internet access service that can transmit and receive data from an Internet endpoint in a household, costs no more than $40 per month, and meets minimum speed requirements (generally, 25 megabits per second (MPS) download speed and 3 MPS upload speed).

sSB3 / File No.

182 34 sSB3 File No.

182 “Eligible household” means a (1) resident of a group home or congregate care facility that participates in a qualified public assistance program and (2) household in which at least one resident participates in a qualified public assistance program, that are located in a qualified broadband Internet access service provider’s territory in the state.

“Qualified public assistance program” includes the following Department of Social Services programs:

low-income home energy assistance, temporary assistance for needy families, and supplemental nutrition assistance programs, state supplemental security income program, Husky Health (e.g., Medicaid).

It also includes the Covered Connecticut health insurance program, the National School Lunch Program, and any program that provides need-based financial aid for post-secondary education.

Program Requirements The bill requires each qualified broadband Internet service provider (i.e.,aproviderthatdoesbusinessinthestateandwithany stateagency) to do the following:

1.

beginning on October 1, 2024, allow any eligible household to immediately convert to affordable broadband during any month in which the household qualifies for it;

2.

by October 1, 2024, establish and maintain a telephone number that eligible households may use to contact trained personnel to signupforaffordablebroadbandwithin30minutesafterthestart of the call;

3.

by December 31, 2024, and then annually, hold a public meeting with key stakeholders to (1) explore options to establish and advance strategic and effective public-private partnerships and (2) ensure that at least 90% of eligible households receive affordable broadband by January 1, 2025, and at least 95% of them receive it by January 1, 2028;

4.

by April 1, 2025, and then annually, submit to DCP a report sSB3 / File No.

182 35 sSB3 File No.

182 disclosing the (1) number of eligible households that signed up for affordable broadband from the provider during the reporting year and (2) total number of eligible households that received affordable broadband from the provider during the reporting year;

and 5.

by October 1, 2024, place advertisements with public and nongovernmental organizations, in print and online in multiple languages, the availability of (1) affordable broadband from the provider and (2) the Federal Communication Commission’s (FCC) Affordable Connectivity Program or an equivalent program the FCC offers.

Under the bill, each advertisement required must include the telephone number eligible households may use to contact trained personnel to sign up for affordable broadband within 30 minutes following the start of the call.

Additionally, the bill allows each qualified provider to stop the advertisements if a reputable statewide survey demonstrates that at least (1) 80% of eligiblehouseholds are aware that affordable broadband is available or (2) 95% of eligible households are connected to the Internet at home.

Service Speeds The bill requires that all affordable broadband provided under the bill’s provisions provide, at minimum, 25 MPS download speed and 3 MPS upload speed.

In all cases, service speeds and latency must be sufficient to support distance learning and telehealth services.

The bill allows the DCP commissioner to approve a deviation from the service speed requirements to comply with applicable state or federal law.

However, it prohibits him from approving any deviation that wouldprovideaffordablebroadbandservice speedsthat are slower than 25 MPS download and 3 MPS upload speeds.

Conducting Business With State Agencies sSB3 / File No.

182 36 sSB3 File No.

182 The bill generally prohibits state agencies, beginning October 1, 2024, from doing business, or entering into procurement contracts, with a broadband Internet access service provider doing business in the state unless the provider offers affordable broadband to eligible households as required by the bill.

Under the bill, “state agency” is any office;

department;

board;

council;

commission;

institution;

constituent unit of the state’s higher education system;

technical education and career school;

or other executive, legislative, or judicial branch agency.

The bill states that it does not impair any contract that exists on October 1, 2024.

Further, it exempts the Department of Emergency Services and Public Protection from this restriction.

EFFECTIVE DATE:

July 1, 2024 § 3 — TOTAL PRICE DISCLOSURE Requires businesses advertising, displaying, or offering any consumer good or consumer service in the state to include all fees, charges, and costs, other than taxes, in the total price, and prohibits deceptive fees Total Price Disclosure The bill prohibits businesses that offer to sell, lease, or provide consumer goods or services to consumers from advertising, displaying, or offering them for a price that does not include all fees, charges, or costs, excluding applicable taxes.

It also prohibits businesses from requiring consumers to pay deceptive fees to purchase, lease, or receive consumer goods or services.

Under the bill, a “deceptive fee” is a fee, charge, or cost that (1) a consumer must pay to purchase, lease, or receive a consumer good or service and (2) is not displayed to the consumer before the good or service is selected or is intentionally obscured, unclear, or misrepresented to mislead a consumer.

Exceptions However, the bill does not prohibit businesses from imposing or omitting fees, charges, or other costs on the advertised, displayed, or offered price of consumer goods or services if the additional cost:

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182 37 sSB3 File No.

182 1.

depends on a consumer’s selection;

2.

cannot feasibly be calculated in full when the price is first advertised, displayed, or offered;

and 3.

is disclosed to the consumer before the consumer purchases the good or service.

Additionally, the bill states that it does not impose liability on businesses that facilitate motor vehicle rentals or hotel or motel guest room occupancy (e.g., third-party online reservation services) for any consumer transactions if the (1) business facilitates a motor vehicle rental or hotel or motel occupancy and (2) person providing the rental or occupancy imposes a fee, charge, or cost without the facilitating business’s knowledge.

The bill’s total price disclosure requirement also does not apply to any transactions or actions permitted under state or federal law, as administered by regulatory boards or officers acting under statutory authority.

Tracking and Disclosing Violations The bill requires DCP to (1) maintain a record of each violation of the total price disclosure requirement that it has knowledge of and (2) within available appropriations, develop, establish, and maintain a publicly accessible online portal to notify consumers of the violations.

Penalty Under the bill, a violation of the total price disclosure requirement is an unfair or deceptive trade practice under the Connecticut Unfair Trade Practices Act (CUTPA) (see BACKGROUND).

EFFECTIVE DATE:

October 1, 2024 § 4 — DRONES FROM CERTAIN FOREIGN ENTITIES PROHIBITED Generally prohibits, beginning on October 1, 2024, a public entity from purchasing a drone assembled or manufactured by a covered entity (e.g., China or Russia);

beginning October 1, 2025, prohibits public entities from operating these drones sSB3 / File No.

182 38 sSB3 File No.

182 The bill generally prohibits, beginning on October 1, 2024, a public entity from purchasing a small unmanned aircraft system (i.e., drone) assembled or manufactured by a covered foreign entity.

(It specifies this prohibition does not impair any contract entered before this date.) Beginning on the same date, the bill also prohibits state funds, including contract, cooperative agreement, or grant funding, from being used to purchase, operate, or repair them.

The bill prohibits, beginning October 1, 2025, public entities from operating these drones.

Covered Entities and Drones Under the bill, a “public entity” means (1) the state of Connecticut, any state agency, municipality, and any political subdivision of the state, and (2) any person that contracts with these entities.

A “person” means any individual, association, corporation, limited liability company, partnership, trust, government, governmental subdivision, agency, instrumentality, or other legal entity.

A “covered foreign entity” means:

1.

any person on the federal Consolidated Screening List or Entity List (15 C.F.R.

Part 744, Supp.

4);

2.

the People’s Republic of China, the Russian Federation, and any of their governmental subdivisions, agencies, or instrumentalities;

3.

any person domiciled in, or under the control or influence of, these countries;

and 4.

any affiliate or subsidiary of any foreign government or person described above.

A “small unmanned aircraft system” (drone) means any unmanned, powered aircraft weighing less than 55 pounds, including anything attached to or carried by it, that is operated without the possibility of sSB3 / File No.

182 39 sSB3 File No.

182 direct human intervention from withinor onthe aircraft.

It also includes all (1) elements associated with the aircraft, (2) elements required for the operator to operate the aircraft safely and efficiently in the national airspace system, and (3) communication links and components that control the aircraft.

Waiver The bill allows the Office of Policy and Management (OPM) secretary to waive the purchase and funding prohibitions, but not the operating prohibition, if:

1.

the person seeking the waiver submits an application specifying the need for the waiver and a $40 application fee and 2.

the secretary reviews the application and decides the waiver is needed due to exigent circumstances, to counter another drone, or for criminal investigation purposes.

He must then submit notice of the waiver and the reasons for it to the General Law Committee.

Plan to Discontinue The bill requires, by October 1, 2024, any public entity that operates a drone assembled or manufactured by a covered entity to submit to OPM, in a secretary-prescribed way, a (1) comprehensive plan to discontinue drone operations and (2) $20 processing fee.

Under the bill, OPM must adopt rules specifying the comprehensive plan requirements.

EFFECTIVE DATE:

July 1, 2024 § 5 — VOICE RECOGNITION FEATURE DISPLAYS AND DISCLOSURES Requires (1) connected device providers (e.g., cellular phone manufacturers) to prominently display and disclose certain information about the device’s voice recognition feature before activating the feature and (2) anyone who records and transmits any personally identifying information collected through a connected device’s microphone to use reasonable security measures;

deems a violation a CUTPA violation sSB3 / File No.

182 40 sSB3 File No.

182 The bill establishes requirements for certain entities that provide, or collect information from, voice recognition features on an Internet- connected device that has a microphone (“device”) (e.g., a cellular telephone, computer, home appliance, motor vehicle, tablet, television, toy, or video game console).

It specifies information they must disclose to consumers and measures they must take to protect personally identifiable information.

It also prohibits, among other things, requiring device manufacturers to build features that allow law enforcement to monitor communications through voice recognition features.

The bill makes any violation of its requirements or prohibitions a CUTPA violation.

Displays The bill requires device providers (e.g., manufacturers or sellers) to prominently display certain information about a device’s voice recognition feature when the initial consumer, or someone on the consumer’s behalf, first sets up the device.

If they do not display this information,providersmay not allowconsumerstoactivatethedevice’s voice recognition feature (i.e., a function that enables the device to collect, record, store, analyze, interpret, transmit, or otherwise use any spoken word or other sound).

A “provider” is an individual or legal entity doing business in this state, including a manufacturer, who sells, leases, or otherwise provides a device to the initial consumer.

The bill requires these providers to display a statement disclosing the following:

1.

the connected device includes a microphone that will be enabled or turned on, 2.

the device might record the consumer, 3.

the device or device’s manufacturer might retain recordings, 4.

commands or actions that activate or enable the microphone, 5.

the categories of sounds that (a) the microphone will listen for or sSB3 / File No.

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182 record or (b) might be disclosed to a person other than the consumer, and 6.

the categories of individuals to whom the sounds may be disclosed.

Personally Identifying Information The bill requires anyone who records and transmits any personally identifying information collected through a device’s microphone to use and maintain reasonable security measures to protect the information from any unauthorized access, acquisition, destruction, disclosure, modification, or use.

Under the bill, “personally identifying information” is an individual’s birthday, mother’s maiden name, driver’s license number, Social Security number, health insurance identification number, financial account number, security code or personal identification number, or government-issued identification number that is not otherwise made directly available to the public.

Existing law similarly requires anyone who possesses another person’s personal information to safeguard it from misuse by third parties.Willfulviolatorsmaybesubjecttocivilpenaltiesof$500foreach violation, up to $500,000 for any single event (CGS § 42-471).

Prohibitions The bill prohibits device manufacturers or their contractors from using or selling any recordings collected through a voice recognition feature for advertising purposes.

The bill also prohibits anyone from compelling a device manufacturer, or any other person operating the voice recognition feature, to build specific features to allow a law enforcement agency or officer to monitor communications through the feature.

The bill also specifies that it does not:

1.

impose any liability onadevice manufacturer for any application sSB3 / File No.

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182 functions that an initial consumer (a) downloads and installs or (b) chooses to use on a network of remote servers hosted on the Internet to store, manage, and process data;

2.

authorize disclosure of any recording retained by amanufacturer to another person, including a law enforcement agency or officer, unless another law or a court order authorizes it;

or 3.

modify, limit, or supersede any other privacy or security law.

EFFECTIVE DATE:

October 1, 2024 § 6 — NET NEUTRALITY COMPLIANCE Requires DCP to develop a procedure to certify that broadband Internet access service providers are abiding by recognized net neutrality best practices while providing service to consumers in the state Registration and Certification The bill requires DCP to develop, by January 1, 2026, a procedure through which a broadband Internet access service provider that provides fixed or mobile broadband Internet access service in the state must submit to DCP, at least annually, a registration and certification that the provider complies with the bill’s net neutrality principles.

Beginning April 1, 2026, the DCP commissioner must issue a certificate of net neutrality compliance to any provider who submits a registration and certification that shows the provider complies with certain disclosure requirements (see below) and does not do the following:

1.

block lawful content or nonharmful devices subject to reasonable network managementpracticesthat theprovider hasdisclosed to consumers;

2.

impair or degrade lawful Internet traffic on the basis of content, or the use of nonharmful devices, subject to reasonable network management practices that the provider has disclosed to consumers;

sSB3 / File No.

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182 3.

engage in paid prioritization (see below);

4.

unreasonably interfere with or unreasonably disadvantage (a) a customer’s ability to select, access, and use broadband Internet access service or lawful content or devices of the customer’s choice or (b) the ability of an edge provider (i.e., anyone who provides (i) content over the Internet or (ii) a device used to access content) to make lawful content or devices available to a customer;

and 5.

engage in any deceptive or misleading marketing practice that misrepresents to customers the treatment of Internet traffic or content.

Under the bill, a “reasonable network management practice” is any network management practice that (1) is primarily justified as technical network management or (2) the DCP commissioner determines is primarily used for, and tailored to, achieving a legitimate network management purpose, considering the service’s network architecture and technology.

“Paid prioritization” is the management of a provider’s network to, directly or indirectly, favor some content or traffic over other content or traffic.

This includes, among other things, the use of techniques such as traffic shaping, prioritization, resource reservation, or any form of preferential content or traffic management in exchange for money or other consideration from a third party or to benefit any entity affiliated with the provider.

Paid Prioritization Waiver The bill authorizes the DCP commissioner to waive the prohibition on paid prioritization if a provider can show, and the commissioner finds, that the practice would provide a significant public benefit and would not harm the open nature of the Internet in Connecticut.

Disclosure to Consumers Required The bill requires a provider engaged in providing fixed or mobile sSB3 / File No.

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182 broadband Internet access service in the state to publicly disclose to consumers accurate information about the provider’s network management practices, performance, and commercial terms of the provider’s services.

The disclosure must be sufficient for a (1) consumer to make informed choices about the consumer’s use of the services and (2) developer of content, or device provider, to develop, market, and maintain Internet offerings.

Consumer Complaints The bill authorizes any broadband Internet access service end user to file a complaint with DCP alleging noncompliance with the bill’s net neutrality principles.

WhenDCPreceivesacomplaint, DCPmust record the complaint and may initiate a review of the provider’s performance.

The DCP commissioner, or his designee, must conduct a contested case hearing under the Uniform Administrative Procedure Act, if he finds that the provider failed to comply with the net neutrality principles.

After a hearing, the commissioner or his designee may issue orders to enforce the bill’s provisions.

Penalty The bill authorizes the DCP commissioner, or his designee, to assess a civil penalty of up to $10,000 per violation against the provider if they violate the net neutrality provisions.

Bill Interpretation Guidance The bill states that it does not supersede or limit any existing obligation or authorization of a provider that provides fixed or mobile broadband Internet access services to address the needs of emergency communications, law enforcement, public safety, or national security authorities consistent with or permitted by law.

Additionally, the bill does not prohibit reasonable efforts by a provider to address copyright infringement or other unlawful activity.

The bill also requires that the terms and definitions in this section must be interpreted broadly, and any exceptions interpreted narrowly, using relevant FCC orders, advisory opinions, rulings, and regulations sSB3 / File No.

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182 as persuasive guidance.

EFFECTIVE DATE:

January 1, 2025 § 7 — STREAMING SERVICE CANCELLATIONS Prohibits a streaming service provider from charging a subscriber for any streaming service after the date the subscriber cancels the service and requires the provider to give a pro rata rebate for unused days after cancellation The bill prohibits a streaming service provider from charging a subscriber for any streaming service after thedate the subscriber cancels the service.

If the subscriber cancels it before the last day in the monthly billing period, the provider must provide the subscriber a pro rata rebate for all the days left in the period after the subscriber made the request.

Under the bill, a “streaming service provider” is an individual, association,corporation,limitedliabilitycompany,partnership,trust,or other legal entity doing business in the state that offers or provides a streaming service to a subscriber.

A “streaming service” is a service that (1) is available on a subscription basis and (2) delivers audio, video, or both in a compressed form over the Internet in real time.

EFFECTIVE DATE:

October 1, 2024 § 8 — RIGHT-TO-REPAIR Requires certain electronic or appliance manufacturers to make available, on fair and reasonable terms, products’ repair manuals, functional parts, and tools;

deems a violation a CUTPA violation Regardless of any other state law, the bill requires electronic or appliance product manufacturers to make available certain resources needed to diagnose, maintain, or repair their products.

Under it, manufacturers must make these resources available on fair and reasonable terms (see below) to the product’s owners, service andrepair facilities, and service dealers.

The bill’s requirements apply to certain electronic or appliance products that are first manufactured, sold, or used in Connecticut on or after January 1, 2025 (“products”).

For these products, the manufacturer sSB3 / File No.

182 46 sSB3 File No.

182 must make the following resources available if it makes them available to an “authorized repair provider” (see below):

1.

documentation (e.g., product diagrams, manuals, reporting outputs, schematics, service code descriptions, or similar information);

2.

functionalparts(e.g.,neworusedreplacementcomponents);and 3.

tools (e.g., hardware, software, or other apparatus to calibrate or repair a product, including updates).

The billrequireseach manufacturer to makethese resourcesavailable fordifferentlengthsoftime,dependingontheproduct’swholesaleprice to a retailer (or in any sale other than a direct sale).

They must provide these resources:

1.

for at least three years after the last date it manufactured the product’s model or type if the product’s wholesale price is between $50 and $99.99 and 2.

for at least seven years afterward if the product’s wholesale price is at least $100.

The bill specifies that these time periods apply even if they exceed the product’s warranty periods.

Under the bill, an “authorized repair provider” means a person (i.e., individual or entity) who is unaffiliated with a manufacturer and has an arrangement under which the:

1.

manufacturer grants the person a license to use a trade name, service mark, or other proprietary identifier to offer diagnostic, maintenance, or repair services for products under the manufacturer’s name or 2.

person offers diagnostic, maintenance, or repair services for products on the manufacturer’s behalf.

sSB3 / File No.

182 47 sSB3 File No.

182 An authorized repair provider includes a manufacturer for its own electronic or appliance products, if the manufacturer (1) offers diagnostic, maintenance, or repair services for the product and (2) does not have an arrangement with an unaffiliated person to provide these services.

A “product” includes any antenna, electronic set, major home appliance (e.g., dishwasher, microwave, or air conditioner), or rotator that is sold through any method other than a direct retail sale.

It does not include any alarm system;

motor vehicle or any component used to maintain, manufacture, or repair it;

or video game console.

An ”electronic set” includes any audio or video recorder or playback equipment, computer system, fax machine, photocopier, radio, television, video camera, or video monitor that is normally used or sold for personal, family, household, or homeoffice use.A “rotator”includes an electromechanical device, used in an antenna installation or repair, that is operated from a remote location to rotate an antenna on a horizontal plane.

Fair and Reasonable Terms Under the bill, the product manufacturer must make the required resources available on fair and reasonable terms, meaning at costs and on terms that are equal to the most favorable costs and terms it offers to authorized repair providers, accounting for any incentives or preferences (e.g., discounts, rebates, convenient and timely means of delivery, means of enabling fully restored and updated functionality, or rights of use) it offers the provider.

Additionally, the manufacturer must provide for free (1) documentation, including any relevant updates, and (2) tools, without imposinganybarrierstoaccessingorusingtheminanefficientandcost- effective way.

The manufacturer may, however, charge for its reasonable, actual costs to prepare and send physical versions of the tools and documentation, if requested.

If a manufacturer does not use an authorized repair provider, the bill sSB3 / File No.

182 48 sSB3 File No.

182 instead requires it to make these resources available at a price that reflects the actual costs it incurred to prepare and deliver the resources, excluding any research and development costs.

Disclosure by Dealers or Services That Are Not Authorized Repairers Under the bill, service dealers or service and repair facilities that are not authorized repair providers for a manufacturer must, before repairing a product, give the customer written notice disclosing:

1.

that the dealer or facility is not an authorized repair provider for the product and 2.

whether the dealer or facility uses any (a) used replacement parts or (b) replacement parts provided by a supplier other than the product manufacturer.

Liability Under the bill, a manufacturer or authorized repair provider is generally not liable for any damage or injury caused to any electronic or appliance product, person, or property due to a diagnosis, maintenance, modification, or repair an owner or service dealer performs.

This includes any (1) indirect, incidental, special, or consequential damages;

(2) loss of data, privacy, or profits;

or (3) inability to use, or reduced functionality of, the product.

However, this does not apply to any design defect or manufacturing flaw that existed before, or independent of, any of the actions listed above.

Obligations The bill specifies that its right-to-repair provisions do not require an electronic or appliance product manufacturer to do the following:

1.

disclose any trade secret or license any intellectual property, including any copyright or patent, unless the disclosure or license is needed to comply with these provisions;

sSB3 / File No.

182 49 sSB3 File No.

182 2.

make available any special documentation, tools, or parts that would disable or override antitheft security measures the owner sets on any product without the owner’s authorization;

3.

sell any part if the manufacturer no longer (a) provides the part or (b) makes the part available to authorized repair providers;

or 4.

allow distribution of the source code for an electronic or appliance product.

Under existing law and the bill, a “trade secret” is information, including a formula, pattern, compilation, program, device, method, technique, process, drawing, cost data, or customer list that (1) derives actual or potential independent economic value from not being generally known to, and not being readily ascertainable by proper means by, other individuals who can get economic value from its disclosure or use and (2) is the subject of efforts that are reasonable under the circumstances to maintain its secrecy (CGS § 35-51).

The bill also does not require a covered manufacturer that is also an authorized repair provider to make any documentation or tools available that:

1.

it exclusively uses to perform free diagnostic services for customers remotely (e.g., using the Internet, email, telephone, or a chat function), unless the manufacturer also makes them available to any unaffiliated person, or 2.

are exclusively used by machines that simultaneously repair several electronic or appliance products, as long as the manufacturer makes available alternative documentation and tools that are sufficient to diagnose, maintain, or repair the product.

The right-to-repair provisions also do not apply to a manufacturer if it gives its customers a free replacement product that is readily available and equivalent to, or better than, the replaced product.

sSB3 / File No.

182 50 sSB3 File No.

182 Penalty The bill deems a right-to-repair violation a CUTPA violation.

EFFECTIVE DATE:

January 1, 2025 BACKGROUND CUTPA The law prohibits businesses from engaging in unfair and deceptive acts or practices.

CUTPA allows the DCP commissioner to issue regulations defining an unfair trade practice, investigate complaints, issue cease and desist orders, order restitution in cases involving less than $10,000, enter into consent agreements, ask the attorney general to seek injunctive relief, and accept voluntary statements of compliance.

It also allows individuals to sue.

Courts may issue restraining orders;

award actual and punitive damages, costs, and reasonable attorney’s fees;

and impose civil penalties of up to $5,000 for willful violations and $25,000 for violation of a restraining order.

Related Bills SB 15 (File 67), favorably reported by the General Law Committee, prohibits individuals and legal entities from advertising, displaying, or offering pricing for (1) event tickets and (2) consumer goods or services on food delivery platforms, lodging platforms, or primary or secondary ticket platforms unless they disclose the total price, including all mandatory fees or charges, other than taxes.

sSB201 (File 156), favorably reportedby theGeneralLawCommittee, requires anyone selling goods or services in the state to disclose their total price, including fees and charges other than taxes, and makes a violation an unfair or deceptive trade practice under CUTPA.

SB231 (File 138), favorably reportedby thePublic Safety andSecurity Committee, requires the emergency services and public protection commissioner to administer a grant program for law enforcement units and fire departments to purchase drones.

sHB 5203, favorably reported by the Transportation Committee, sSB3 / File No.

182 51 sSB3 File No.

182 requires auto dealers to include in a vehicle’s price all charges and fees that a buyer must pay to purchase the vehicle, except that dealers may exclude taxes and other government-imposed charges.

sHB 5236 (File 103), § 25, favorably reported by the General Law Committee, among other things, allows DCP to impose a civil penalty of up to $5,000 for CUTPA violations, after an administrative hearing.

COMMITTEE ACTION General Law Committee Joint Favorable Substitute Yea 14 Nay 8 (03/12/2024) sSB3 / File No.

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