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Erie County, New York Will Hire Consultant for Feasibility Study

Erie County's leadership recently decided it is time to get serious about publicly owned broadband infrastructure. The Erie County Legislature approved funding to engage a consultant for a feasibility study. Patrick B. Burke spearheaded the initiative, reports the county's website. Burke stated:

“Consumers, businesses, schools and government agencies need to have affordable and accessible high speed internet service in order to function in today’s world; the build out of a fiber cable network is a no-brainer. This is a win for social justice, economic development and public safety.”

In addition to funding, the county has also formed a Municipal Broadband Committee and released a policy agenda which addresses service problems in the county. Next the county will issue an RFP for a consultant.

Earlier this year, the Broadband Committee released a report [PDF] that estimated a municipal fiber network would, among other things, boost GDP in the county by 1.1 percent or $450 million per year. That report recommends public ownership of infrastructure, with private partners acting as managing operators with private ISPs offering services via the network.

The report also noted that the Buffalo Metropolitan Area peak speeds come in 294th in the state at 22.2 Mbps. The horrible result is in part due to dead zones in the southern areas where there is NO Internet access. Buffalo is the second most populous city in the state - this result is completely unacceptable in the 21st century.

In March, Burke told WBFO:

"This has to happen...There is no doubt that there will be a build- out of fiber networks in this region and throughout the country."

Biloxi and Mississippi Gulf Coast Towns Pursuing Fiber Initiative

Community leaders in the city of Biloxi want to expand massive water and sewer infrastructure improvements to include broadband infrastructure. The City Attorney Gerald Blessey recently addressed members from the Leadership Gulf Coast group and during the speech he shared the idea to spread fiber throughout Biloxi.

Mayor FoFo Gilich has already spoken with the Governor who, reports WXXV 25, is interested in the idea. Streets in town are being excavated for the water and sewer project and Gilich wants to use this opportunity to install conduit and fiber.

Biloxi recently settled a lawsuit for just under $5 million with British Petrolium (BP) for economic losses arising from the Deepwater Horizon disaster in 2010. Community leaders consider fiber a strong investment to help the area recover.

“And not only is it going to be economic development, but it’s going to be quality of life. Our school system needs this. The medical system needs this. The casino industry needs this,” said [Vincent Creel, city of Biloxi Public Affairs Manager]. 

The Biloxi plan may be happening in coordination with a larger initiative to bring fiber to the coastal area. The Mississippi Gulf Coast Fiber Ring would link 12 cities along the southern coast; each community would determine their own level of service.

The Sun Herald reports that Governor Phil Bryant has offered an additional $15 million in BP state settlement funds to deploy fiber. While any network is still in the idea stage, the plan will likely involve establishing a nonprofit organization to own and operate the fiber ring.

The Coast counties need the economic development a fiber network could bring. According to the Sun Herald:

Since Hurricane Katrina, the recession and oil spill, the three Coast counties are down 2,700 jobs compared to the pre-recession numbers of 2008, and down 5,600 jobs compared to pre-Hurricane Katrina in 2005, [Blessey] said.

The technology will draw talented new people and high-tech business to the Coast, he said. He sees the technology supporting research at colleges in South Mississippi and providing medical teleconference capabilities that would allow a patient on the Coast to confer with a specialist anywhere in the country. The circle would let movie, television and video game producers work from South Mississippi instead of going to other cities that have the technology, and he said it would help monitor pollution in the Gulf and the health of the fisheries and forestry.

"The infrastructure is just first step," he said.

The state might look at what Virginia did with some of the tobacco settlement money in establishing the Mid-Atlantic Broadband Cooperative, now the Mid-Atlantic Broadband Communities Corporation. The effort has aided Danville and Martinsville muni fiber approaches by providing a connection to the outside world and creating a connection for peering exchange.

MBC began in 2004 when the state used funds from the Virginia Tobacco Commission and $6 million in matching funds from the U.S. Department of Commerce Economic Development Administration to commence a fiber backbone deployment. The first $12 million paid for approximately 350 miles of fiber to industrial parks in southern Virginia. Since then, additional grants have aided in extending the network to over 1,800 miles. In 2012, MBC transitioned from a cooperative, that paid excess revenues to members, into a nonprofit corporation which made revenue and grant management less complicated. Under the new model, excess revenues can be reinvested into the network.

The nonprofit operates an open access middle mile network throughout southern Virginia. It provides wholesale transport in more than 20 counties for 45 providers of varying levels from large international companies to small local ISPs. MBC is credited with injecting a healthy dose of economic activity into southern Virgina.

From MBC's History page:

The broadband capacity it has brought to Southern Virginia has attracted numerous companies to the region and has helped to bring more than 900 jobs and $1.3 billion of private sector investment to the region. Most notably, MBC was a critical component in securing the Microsoft data center project for Southern Virginia, which has already announced over $1.3 billion in private sector investment and 180 high-paying jobs.

We talked to Tad Deriso from MBC in Episode #146 of the Community Broadband Bits podcast. Have a listen.


WXXV 25's report:

Kentucky City Transfers Ownership of Network, Still Under Local Control

The city of Franklin, KY transferred ownership of its fiber optic network to the Franklin Electric Plant Board (EPB) for $2.5 million. The Franklin City Commission unanimously approved a resolution for the transfer of ownership at the June 8th meeting. The network, although no longer maintained by the city, is still under local control. The EPB is an extension of city government, but has its own board of directors. Pleased with the city’s decision, Mayor Ronnie Clark stated:

"Broadband is now the new utility, and who better to deliver those services than the local infrastructure experts, EPB. They have the manpower and the equipment, as well as the community's confidence in providing reliable utility service and exceptional local customer support."

The city developed the 32-mile fiber optic network to encourage economic development by providing broadband to local businesses. The network attracted to new businesses including a distribution center from Tractor Supply Company. Currently, the network supports Internet connectivity to more than 40 business and industry customers in Franklin. The EPB hopes to continue to expand the services: 

"This network will be an excellent fit for us operationally, and will enable us to expand our role in serving our customers with the most robust broadband services available. We have big plans to add new services and grow our broadband customer base," said General Manager of EPB Bill Borders.

In this $2.5 million deal with EPB, the city will recoup the $2.5 million cost of constructing the network. Originally, the city funded $1.5 million with bonds and received a $1 million grant from the U.S. Department of Commerce Economic Development Administration. The sale of the network to the EPB will pay off a $1.3 million bond issued to create the network and the remainder will go into the general fund. 

Introducing Our Economic Development Page

Access to high-speed, broadband Internet facilitates economic development. Over the years, the Institute for Local Self-Reliance has documented economic successes brought about by community broadband networks. We chose some of the most compelling examples, organized them by topic, and put them in one place for easy reference.

Unfortunately, in some communities, a lack of broadband Internet continues to stunt economic growth - and has even forced businesses to relocate or shut down. In many cases, incumbent Internet service providers like AT&T and CenturyLink are not willing to provide business customers or local residents with next-generation fiber networks.

To boost economic development, local communities create their own fiber networks. Municipal fiber networks typically provide faster, more reliable, more affordable Internet access than incumbent networks because municipalities have a vested interest in seeing their community succeed. 

Stories and examples of economic development resulting both directly and indirectly from community broadband networks abound, but until now these anecdotes and statistics were not consolidated into one place. 

In our economic development page, the benefits of municipal networks are separated into various categories - ranging from job creation to advances in healthcare - with concrete examples from community broadband networks across the country. Take a look. 

Lafayette Celebrates 10 Year Anniversary of "Yes" to Network

In June, 2005, voters in Lafayette chose to invest in a municipal FTTH network, now known as the only municipal gigabit network in the state, LUS Fiber. To celebrate the milestone, City-Parish President Joey Durel has declared July LUS Fiber Month. Current customers' Internet access has been boosted up to gigabit speed at no extra charge for July and the city will celebrate with a series of events this week. The entire community is invited to participate onsite but most of the events will be broadcast live so if you are not there, you can be part of the celebration. See the list of events below.

In the past ten years, the network has attracted thousands of new jobs, created better educational opportunities, and helped bridge the digital divide. Just last fall, three high tech companies committed to bringing approximately 1,300 new jobs to the "Silicon Bayou." The presence of the network, the University of Louisiana's local top-ranked computer science program, and its quality grads were two more key factors for choosing Lafayette. In April, Standard & Poor gave LUS Fiber an A+ bond rating based on the system's "sustained strong fixed charge coverage and liquidity levels, and the communication system’s improved cash flow."

The July issue of the local Independent tells the story of the network. According to Terry Huval, Director of LUS Fiber, the self-reliant streak has always been part of Lafayette's culture - in 1996 the city celebrated its 100th year vote to create its own electric and water system. The Independent article describes that culture as it permeated the vision shared by City-Parish President Joey Durel and  Huval.

"The vision was simple: Lafayette was already benefiting from a very successful electric, water and wastewater system, and LUS could leverage its expertise to offer Internet and other telecommunications services, if that is what our community wanted,” he says. “After we threw out the idea, the entrepreneurial, wildcatter spirit of Lafayette seemed to take it from there.”

lus-fiber-win-fight.jpg

Even with a vision, it took strong community organizing to overcome incumbent efforts to derail any municipal network project. John St. Julien was at the front of those efforts; he spoke with Chris in episode #19 of the Community Broadband Bits podcast about organizing strategies and fending off attacks from incumbent providers. Mobilizing to improve connectivity with a fiber network brought together individuals from every demographic in the community. Business leaders worked with community activists because they all needed better connectivity.

Fighting misinformation and lies from incumbents became a valuable tool, reports the Independent:

The citizen group was able to settle into reaction mode: Once the dumb, clunky messages came out, they took to their emails and blog and pointed out every single lie. It wasn’t just an opportunity to educate; it was an opportunity to draw on local pride and, again, that spirit of audacity. “It was a lot of fun to watch, waiting for them to say something else ridiculous and outrageous,” John St. Julien remembers.

Those clunky messages eventually backfired and, with anti-incumbent sentiment strong, the voters chose to serve themselves with a publicly owned, accountable, reliable municipal network.

Achieving success has not been easy as LUS Fiber has had to contend with lawsuits, delays, restrictive state laws, and twisted criticisms over the past ten years. While Lafayette has much to celebrate, Huval reflected in the Independent article on what more could have been accomplished if the situation were different:

We entered this arena as underdogs.

We had to fight for every success we achieved. We were forced to accept a law that was going to make our entry into this business far more difficult. We incurred lawsuit delay after lawsuit delay — delays that impacted our entry into this competitive market for three years. I know of no local government telecom system that has had to go through the extreme challenges we encountered.

If we would not have had all these early legal impediments, we would have been on-line faster and drawn in far more customers, more quickly. If we could have captured the level of strong enthusiasm in those early years, there is no doubt our revenues would have been stronger, and we could have been even more creative and aggressive. ... Under the circumstances, there was not much we could have done differently and still reach a successful business result.

We concur. Lafayette's success is all the more powerful given the tremendous obstacles they had to overcome. But they overcame them and kept a sense of humor throughout. We have greatly enjoyed every opportunity to interact with everyone we have met from Lafayette - from Joey Durel, Terry Huval, and John St Julien to recent transplant Geoff Daily to the folks making poboys at Olde Tyme Grocery.

Thanks to the city utility, local Cox customers report that the company appears to be reacting to the competition with more reasonable rates and better customer service. LUS Fiber is in the black and revenues are projected to reach $50 million per year in the next nine years. While LUS Fiber and the people of Lafayette are celebrating success as measured by time on the calendar, they can also celebrate their own grit and determination. 

Durel to the Independent:

I knew this had the possibility of transforming Lafayette — that 25 years later, Lafayette would be a better place because of this...Even if fiber just breaks even, but we create thousands of new jobs because of it, that’s a win.

Watch video below from KLFY Channel 10 reported on the network earlier this month, highlighting one of the telemedicine applications made possible by LUS Fiber.

 


Schedule of events:

Reddit Ask Me Anything (AMA) With City-Parish President Joey Durel and LUS Fiber Director Terry Huval

Tuesday, July 14th - 1:30 - 3:30 p.m.

Get answers to your questions as we host an AMA session. Join us by going to http://reddit.com/r/iama

Fiber for Breakfast

logo-LUS.gif

Wednesday, July 15 - 7:00 - 10:30 a.m. CST


Live Remote Broadcast on KATC-TV 
LUS Fiber Customer Service Center - 1875 W. Pinhook Road
Join us for a live remote braodcast on KATC-TV and a breakfast bite.

George Porter, Jr. & the Runnin Pardners
 The Park at the Horse Farm

Levitt Amp Concert Series feat.

Wednesday, July 15 - 6:30 - 8:00 p.m.


Come out and celebrate with LUS Fiber - a night of great music and fun, in a venue steeped with history.

LUS Fiber joins City-Parish President Joey Durel for "Lafayette Live" on KPEL


Thursday, July 16 - 7:30 - 8:00 p
.m.

City-Parish President Joey Durel is joined by LUS Fiber Director Terry Huval during "Lafayette Live" on 96.5 KPEL. Be sure to tune-in as they reminisce the 2005 Election and the ten-year road that followed.

Our report, Broadband at the Speed of Light: How Three Communities Built Next-Generation Networks dives deep into Lafayette's accomplishment. But in terms of our enthusiasm for what Lafayette has accomplished, well ... Kermit is a pretty good proxy for how we feel:

Call Center Central: Morristown, Tennessee?

The city of Morristown, Tennessee received more positive economic news recently when Sykes Enterprises, a global company that operates in more than 20 countries, announced plans to open a call center in an abandoned big-box store and connect to the city’s municipal network, FiberNet. Sykes estimates that the call center will employ up to 500 workers over the next three years, the large majority of which will come from the Morristown community. 

In Morristown, Sykes will join Oddello Industries, a furniture manufacturer, and the Molecular Pathology Laboratory Network, a personalized health firm – other companies that have cited the fiber network as an important part of their decision to locate facilities in the city of 30,000 people. 

According to the president of the Morristown Chamber of Commerce, Marshall Ramsey, the existence of FiberNet played a role in attracting the 50,000-plus employee firm to Tennessee: 

For Morristown to be able to have a local provider and a secondary provider in AT&T with a gig gives us that redundancy that most companies can’t get elsewhere in the country. 

FiberNet is operated by Morristown Utility Systems, the publicly owned electric and water utility. It began offering gigabit Internet speeds in 2012, though it has served local businesses since 2006. 

This is the second time in two months WBIR – Morristown’s NBC network – has run a story about FiberNet. In May, the station covered the way in which the municipal fiber network has stimulated economic development by increasing competition between service providers. When FiberNet upgraded its network to provide gigabit speeds, the incumbent telephone company in Morristown, AT&T, responded with some upgrades of its own. Morristown is one of a select few cities to have multiple gigabit-offerings, along with neighboring Chattanooga, Tennessee.  

Chris interviewed General Manager and CEO of FiberNet, Jody Wigington, in 2013 to discuss the municipal network’s deployment. You can find the interview here.

Local station WBIR covered the story:

Holyoke: A Massachusetts Municipal Light Plant Seizes Internet Access Business Opportunities

Publication Date: 
July 8, 2015
Author(s): 
David Talbot
Author(s): 
Waide Warner
Author(s): 
Carolyn Anderson
Author(s): 
Kira Hessekiel
Author(s): 
Daniel Dennis Jones

Fifteen years ago, Holyoke Gas & Electric  (HG&E) began its incremental fiber deployment to meet the need for better connectivity in the community. Since then, they have invested savings created by initial and subsequent investments. Over the years, HG&E expanded their services, becoming the ISP for several local business customers in two nearby communities. HG&E also established a regional interconnection agreement and it is now an ISP for municipal agencies in a third community 30 miles away.

The Berkman Center's most recent report, report, "Holyoke: A Massachusetts Municipal Light Plant Seizes Internet Access Business Opportunities,” documents their story.

Gig City Sandy: Home of the $60 Gig

Located at the foot of Mount Hood in Oregon, Sandy's municipally-owned full fiber network offers gigabit Internet service for under $60 to every resident in the city. Sandy is one of the few municipal FTTH networks that has been built without having a municipal electric department.

The Institute for Local Self-Reliance released this short video this week about the city’s approach—it should be a model for others who want faster Internet, but remain paralyzed by the big telecom monopoly stranglehold.

City managers, frustrated that they couldn't even get a DSL line in to City Hall started off by building their own wireless and DSL network, beginning in 2001. Today, 60% of the community has already subscribed to the Fiber-to-the-Home network, or is on a waiting list. View the video below, or on YouTube here.

Video: 
See video

Last-Mile FTTH Via Nonprofit Networks in New York State

Western New York residents are welcoming the presence of a new Internet service provider, Empire Access, competing directly with Time Warner Cable and Verizon. Besides satisfied customers, no data caps, and no usage-based billing, Empire is different from the incumbents in another way - it uses nonprofit network infrastructure to deliver services.

StopTheCap writes that Empire Access utilizes the Southern Tier Network (STN) to connect to communities in Steuben, Chemung, and Schuyler Counties in its southern service area. STN's 235-mile backbone was deployed when fiber-optic manufacturer Corning contributed $10 million to build the network and the three counties contributed the remaining $2.2 million. Construction on the open access network was finished in the spring of 2014.

Axcess Ontario provides the fiber route in the northern region of the Empire Access service area. The network is also a non-profit model and similarly developed to serve business, community anchor institutions, and ISPs. The organization began 10 years ago with the establishment of the nonprofit. The Ontario County Office of Economic Development /Industrial Development Agency provided startup costs to deploy the $7.5 million middle-mile open access dark fiber network. Axcess Ontario is also over 200 miles long. 

For now, the locally-owned company that began in 1896 with one telephone and grew from there, is taking a different approach then its much larger competitors. From StopTheCap:

Empire targets compact villages with a relatively affluent populations where no other fiber overbuilder is providing service. It doesn’t follow Google’s “fiberhood” approach where neighborhoods compete to be wired. Instead, it provides service across an entire village and then gradually expands to nearby towns from there.

In some towns, where Empire has a franchise agreement, it offers cable TV in addition to Internet access. Empire customers have access to gigabit FTTH service as of March, when the company officially began the offering in Naples:

Village of Naples Mayor Brian Schenk says the service will be a game-changer for the community's economy.

"We are thrilled to see 1 Gigabit service and fiber-to-the-home launch in Naples," he said. 

"Those of us who live here and work here cherish our beautiful, Finger Lakes community. Now, with 1 Gigabit and fiber to the home, more people and more businesses can invest in Naples and experience it for themselves."

Middle-mile networks like Axcess Ontario and STN have rarely evolved thus far into tools that facilitate last-mile connectivity. Nevertheless, this is a sign that with the right partners, it can happen:

With the new agreement with Empire Access, the fiber ring's ultimate goal of providing fiber-to-the-home service has now been achieved, said Ed Hemminger, one of the original founders of the fiber ring and Axcess Ontario's first CEO.

"Ten years ago, we had a dream of one day having 1 Gigabit and fiber-to-the-home service in Ontario County," he said. "Today, that dream has come true. And we didn't need Google to do it — we did it ourselves."

City and School Board Partner for Fiber in Maryland

Cumberland and the Allegany Board of Education are collaborating to improve educational, municipal, and business connectivity in the city's downtown area, reports GovTech.

The district's 23 schools are all connected, but the Maintenance and Facilities Warehouse is not yet connected. The location of the facility and the proposed fiber route will create an ideal opportunity to install fiber in a commercial corridor where ISPs can tap into the infrastructure, notes Cumberland's economic development coordinator Shawn Hershberger:

“It will expand upon the solid resources we already have and make us more competitive for future economic development projects,” said Hershberger

The project will cost approximately $220,000. Half of the funding will come from a federal Appalachian Regional Commission grant. The school board and the city will split the remaining cost.

The city will connect its public service buildings and provide splice points for ISPs, who will be responsible for the cost to connect the last mile to the customer.

“Providing additional options for high-speed Internet service in Allegany County can only be a positive move for economic development and growth. The downtown area specifically will benefit from competitive pricing available to private entities with reliable and redundant high-speed service,” said [Chief Information Officer for the school board Nil] Grove.

“It helps us toward the jobs we are trying to compete for and helps us keep the jobs we have here now,” said Hershberger.