The Minnesota Legislature has just approved $35 million for the Border-to-Border Broadband Development Grant program for fiscal year 2017, the largest annual appropriation in the initiative’s two-year-old history.

But the Legislature’s action still falls short of dramatically helping bring universal, high-speed Internet connectivity to all non-metro Minnesotans. Try to find a Representative or Senator that doesn’t talk about how important rural Internet access is, but compare that list to those who are actually voting for solutions. The Blandin on Broadband website captured a glimpse of this dynamic in a recent post. 

Nice Gains And Noticeable Failures

The Legislature headed in the right direction this year to increase overall funding for broadband development. But we believe the Legislature’s action, which is moving at a snail’s pace, won’t help thousands of residents and businesses in Minnesota’s non-metro communities hurdle over the connectivity chasm. 

The state’s elected leaders also made changes to the program – some good and some bad – in the way projects are selected and the challenge process. 

Funding Fizzle? 

First, the funding fizzle. In its first two years, the state awarded about $30 million to 31 Border-to-Border projects. But that has been a miniscule appropriation compared with the Governor’s Task Force on Broadband’s estimate that Minnesota’s unmet broadband need is $900 million to $3.2 billion.

And the Legislature’s $35 million funding for the broadband grant program for the upcoming fiscal year seems particularly paltry given that the state has a projected $900 million budget surplus. 

“We are disappointed with the [broadband funding] number and the incredibly restrictive language” on eligibility for grants, said Dan Dorman, executive director of the Greater Minnesota Partnership, (GMNP), a non-metro economic development group established in 2013 that successfully lobbied for the creation of the Broadband Development Grant program. 

Sandpoint, Idaho, located in the state’s panhandle, is likely to host Ting’s Internet service over publicly owned Fiber-to-the-Home (FTTH) infrastructure. All that remains is for the service provider to determine that the demand exists in the anticipated service area of approximately 9,700 people. In addition to residents and businesses in Sandpoint, properties in nearby Dover, Ponderay, and Kootenai are anticipated potential subscribers.

Sandpoint, Idaho

Approximately 7,500 people live in the city, which is the Bonner County Seat. The community is popular as a ski resort town and is located on Lake Pend Oreille. In addition to tourism, the manufacturing, aerospace, software, and healthcare industries are important employers in Sandpoint. It covers approximately 4.8 square miles and, five years ago, was named “most Beautiful Small Town” by Rand McNally and USA Today.

Seeking Assistance Moving Forward

The city has recently issued a Request for Proposals (RFP) to find a firm to propose a plan to make the best use of their existing dark fiber network. According to the RFP, Sandpoint is looking for consultants to help them engage in conversations with stakeholders and providers, determine the city’s assets, use their assets for maximum economic development, and a variety of other tasks.

Sandpoint has had an existing conduit system in place for some time but, according to the RFP, has not been “proofed” and may not be suitable for larger cables. The city also has an underground fiber backbone and is in the process of installing more fiber-optic cable.

Bonner County also owns conduit within Sandpoint that can be accessed as part of the town’s project. The RFP describes more conduit in and around the city and Sandpoint’s preliminary plans to use it to improve local connectivity.

Important dates:

Longtime efforts by community leaders in Stark County, Ohio, to create a new countywide Internet network have recently taken important steps forward.

Local Support Is Strong

In the past few months, three local government agencies approved informal resolutions to explore building the proposed network, including the City Council in Canton, the Stark County commissioners, and the trustees in Jackson Township. County population is about 375,000 within the 575 square miles located in the northeast section of the state.

In May, an all-volunteer organization comprised of local leaders called the Stark County Broadband Task Team (SCBBTT) announced that they had raised $100,000 needed to fund a feasibility study to explore the construction of the network. The SCBBTT also recently announced they hired a consultant to conduct the study.

We Have a Need for “Transformational” Internet Speed

The SCBBTT is comprised of a large group of volunteers from the county including major figures from government, the business community, and the nonprofit sector. Several years ago the group began working on a plan to construct the network, labeling it a “fourth utility” and saying that Stark County was “falling behind its peers in Ohio and elsewhere in the United States in terms of educational attainment, household income, retention of high-school graduates and overall prosperity.”

The Roanoke Valley Broadband Authority (RVBA) network is live in Virginia, and the state’s cable-telco lobby is not happy. Despite the Virginia Cable Telecommunications Association (VCTA) attempts to turn people against the network, local leaders in Roanoke County decided to help fund further expansion.

As part of their $183 million budget, the Roanoke County Board of Supervisors included $3.4 million to bring the network into the county, with economic development driving the vote. From the Roanoke Times coverage of the vote:

“There is so much that is great that is going on in Roanoke County,” [Supervisor Joe McNamara] said. “Whether it’s what we’re doing for community development with our strategic planning, what we’re doing from an economic development standpoint, what we’ve done with allocating money toward storm water management. I really see broadband as just one area of the budget.”

How Did This Come About?

The network had started out as a joint project among the cities of Salem and Roanoke and the counties of Botetourt and Roanoke. Both counties dropped from the project, leaving the cities to do it themselves. Now with the network live, Roanoke County is reconsidering its previous hesitation.

In late April 2016, the RVBA celebrated the official lighting of the 47-mile fiber network. Fittingly, the first customer is the Blue Ridge PBS station: the local publicly-owned network is serving the connectivity needs of local public television. The overall goal, however, is economic development, and the RVBA intends to sign up 60 small and large customers in the next year and a half. In six years, they expect the network to break even and be self-sustaining.

Questionable Questions

In August 2013, we reported on Lakeland, Florida’s dark fiber network that serves local schools, government facilities, and local businesses. Over the past year or so, community leaders have discussed whether or not to expand the use of Lakeland’s fiber resources.

A 2015 feasibility study suggested several other ways to use Lakeland’s existing 330 miles of fiber infrastructure to enhance connectivity for economic development and residential access. As the city examines its finances and its future in the coming months, city leaders are considering six avenues to meet the community’s needs. The options, some recommended by consultants, vary in type and investment and the City Commission will begin discussing the possibilities as they meet in the upcoming months.

Leaders Consider The Next Move

Lakeland is examining public policies that will encourage better connectivity, such as dig-once, permitting changes, and right-of-way regulations. With smart policies in place, Lakeland can lay the groundwork so they can build off progress made today.

In 2013, Polk Vision, a group of organizations, businesses, government, and individuals, along with the Central Florida Regional Planning Council developed the Polk County Broadband Plan. Another option is using the Plan as a guidepost and aligning Lakeland’s plan to support the goals set in the Polk County Plan. Connecting the schools to a larger network would be part of that plan.

Lakeland, like many other communities wants to give providers operating in the community today the opportunity to work with them to improve services. Another option the city will pursue is reaching out to providers in Lakeland and engaging in discussions to upgrade or expand services to better meet the needs of the community. (We haven't seen much success when communities pursue large incumbents, but smaller local providers are sometimes more willing to work with communities.)

“Business in the 21st century is driven by broadband.”

Those are the words of Gordon Petrie, the Mayor of the small west central City of Emmett, Idaho that is in the process of constructing its own fiber network. The Mayor and other city leaders have high hopes that the network will create economic opportunities in their city within this sparsely populated part of the country:

“Idaho is one of the least connected states in the union." Petrie said. “We intend to change that by making Emmett one of the most connected communities in Idaho. We’ll have the infrastructure to support high-tech business.”

The Buildout and Beyond

When completed, the new network will encircle the city and connect Emmett’s City Hall, its Public Safety Building, Emmett City Park (which is already providing free Wi-Fi), Public works facilities, the fire department, and the library. The city’s systems administrator said the city is timing construction of the fiber to coincide with other scheduled utility digs. Beyond these immediate plans, the city also has a five year strategy for the network that includes a goal of connecting all of the city’s businesses and its 6,500 residents to the fiber network. 

Emmett’s buildout process is similar to the strategy used in nearby Ammon, another small Idaho city that several years ago began constructing a fiber network starting with its municipal facilities. As with Emmett's proposed plan, Ammon constructed its network incrementally over a period of several years, eventually reaching the city’s business community and just now starting to connect to residents as well. 

Ammon’s example shows that when a city like Emmett takes the initiative to bring locally owned fiber infrastructure to the community, good things are likely to follow. In the coming years, Emmett can expect to see public savings, economic development, and opportunities that may enable them to connect the entire community with fast, affordable, reliable Internet infrastructure.

Highlands is a small community of less than 1,000 residents located in the Nantahala National Forest in the Appalachian Mountains. Along the western tip of the state, Highlands faces the same problem as many other rural communities - poor connectivity. In order to bring high-quality Internet access to residents and businesses, Highlands has implemented a plan to deploy city-owned Internet network infrastructure.

A Connected Escape Up In The Mountains

Highland entertains a large number of summer tourists who flock to its high altitude to escape summer heat and humidity. Summer visitors can fill the city’s six square miles and surrounding area with up to 20,000 people. The city operates a municipal electric utility along with water, sewer, and garbage pick up. 

To round off the list of offered services and bring better connectivity to the community, Highlands created the Altitude Community Broadband. In January, the Town Board authorized to borrow $40,000 from its General Fund and $210,000 from its Electric Enterprise Fund to deploy and launch the new service. The loan will be repaid with revenue from the new service.

The town has long-term plans to offer both Fiber-to-the-Home (FTTH) and fixed wireless service to residents and businesses in the downtown area. Fiber is already available in limited areas within Highlands proper; pricing is available on a case-by-case basis. The landscape is rugged, so residents outside of the city may not be able to transition to FTTH, reported a December HighlandsInfo Newspaper, but the fixed wireless access is still an affordable and workable option in a place considered a poor investment by large providers.

Residential options for Altitude Wireless Internet Access are:

Two new Requests for Information (RFI) were recently released in Palo Alto, California, and Pikeville, Kentucky. 

Pikeville, Kentucky

Pikeville is open to both public ownership and Gigabit service via privately owned infrastructure. This community of approximately 7,000 residents wants Fiber-to-the-Premises (FTTP) for businesses, community anchor institutions, municipal facilities, and residents. The regional Appalachian Mountain community, with many jobs lost due to the shrinking coal industry, is turning to connectivity as a way to spur economic development.

Pikeville’s RFI describes how service from existing providers is expensive and "sporadic." This RFI calls for a partner that will help the community develop an open access, affordable, financially sustainable network. In drafting the RFI, Pikeville’s officials made sure to note that low-income residents will not be left behind; bringing this asset to disadvantaged residents is a priority.

The city is the county seat of Pike County and home to a number of colleges as well as several large healthcare facilities. City, county, and federal government facilities are also located in Pikeville and need better connectivity. In 2015, the city obtained a $5 million grant for technology-based training and degree programs for residents in the area. A $1 million grant supplied funding for a Broadband Technology Center in Pikeville. Now the city needs fast, affordable, reliable Internet network infrastructure to complement the Center and to move the local workforce toward more information based industries.

Important Dates:

• Letter of Intent Due: May 23, 2016
• Questions Due: May 25, 2016
• Final RFI Submissions Due: June 3, 2016

The city’s website has more information and details.

Palo Alto, California

Palo Alto is a Silicon Valley city of 67,000 residents; daytime workers coming into the community swell the population to approximately 125,000. Incumbents include Comcast and AT&T who have intimated they might be interested in bringing fiber to the city, but have yet to act. Community leaders are exploring all options with this RFI.

In early 2016, the city of Montgomery and Montgomery County, announced that they were entering into a unique partnership with the State and the Air Force to create Alabama’s first Internet Exchange.

The collaboration developed a neutral physical location where Internet Service Providers (ISPs) can meet to exchange traffic, rather than routing data 100 or more miles away to Birmingham or Atlanta. The Montgomery Internet Exchange (MIX), has already simplified operations and cut costs for ISPs doing business in Montgomery and attracted interest from new providers. For a relatively small monthly investment, the partners are already seeing results.

Montgomery: The Heart Of Alabama

Montgomery will forever be known as the Birthplace of the Civil Rights Movement - the town where Rosa Parks refused to surrender her seat on a bus for a white passenger. Rich in history, the city is also the capital of Alabama, the Montgomery County seat, and home to approximately 206,000.

In the past, agriculture played a large role in the community's economy, but now healthcare, government, and manufacturing employ a large sector of the population. A Hyundai plant, opened in 2002 added over 3,000 new manufacturing jobs to Montgomery's economy. As technology increasingly influences the economy, these sectors need access to fast, affordable, reliable connectivity.

Alabama State University, Troy University, and Auburn University at Montgomery all serve the community and need high-quality connectivity for students and staff. A number of private colleges, including Faulkner University, Thomas Goode Jones School of Law, and several other facilities, including two-year and technical colleges offer ample choices for students pursuing higher education.

The Problem Of The Future

Mayor Todd Strange has for several years expressed concern about the city losing ground as competing communities with better connectivity outpace Montgomery. Unlike Chattanooga, the city does not have its own municipal electric utility, which facilitates the deployment and operation of a municipal fiber network. Community leaders have known for some time they must consider the future and create an environment to encourage better connectivity and competition.