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CLIC to Host Partnership Event at Broadband Communities' September Conference

Is your community considering a public private partnership to improve connectivity for businesses and residents? Will you be attending the Broadband Communities Economic Development Conference in Lexington this September? If you answered 'yes' to those two questions, you should attend CLIC's half-day event on Friday, September 18th.

Spend the morning breakfasting with telecommunication attorney Jim Baller and Joanne Hovis from CLIC along with Maura Corbett, CEO of Glen Echo Group and Heather Gold, CEO of FTTH Council Americas.

The rest of the agenda from a CLIC email invitation:

An Extensive CLIC Paper on the Key Business and Legal Issues in Public-Private Partnerships :

Moderator: Jim Baller - President, CLIC

Speakers:

The Private Sector’s Perspective :

Speakers:

  • Elliot Noss - CEO, Ting Fiber Internet
  • Bob Nichols - President, Declaration Networks Group
  • Levi Dinkla – Vice President & Chief Operating Officer, iTV-3
  • Steve Biggerstaff – Founding President, Director & Advisor, Metronet
  • Nicholas Hann – Senior Managing Director, Macquarie Capital/Macquarie Group Ltd.

The Public Sector’s Perspective :

Moderator: Catharine Rice - Project Director, CLIC

Speakers:

  • Robert Wack - President, City Council, Westminster, MD
  • Scott Shapiro - Senior Advisor, The Mayor’s Office, City of Lexington, Kentucky
  • Jon Gant – Director, UC2B

We Remember Scott DeGarmo

We were saddened to learn of Scott DeGarmo's passing this past week and, like many others who knew him and his work, want to pay tribute to his many contributions.

Scott was the CEO of Broadband Communities, a valuable resource that policy makers, industry chiefs, and community leaders depend on for the most recent developments in the world of advanced communications networks. Scott molded the magazine into a leading publication for readers and began the practice of bringing them together at an annual conference. He took it to a higher level by raising awareness, building coalitions, and creating possibilities.

Scott will be missed by many who care about connecting the world. You can share memories from others who knew Scott at the Broadband Communities Tribute Page. Thank you, Scott. Below is a tribute that Jim Baller has shared via the Coalition for Local Internet Choice.

Scott DeGarmo, CEO of Broadband Communities, passed away this weekend.  He was an ardent and invaluable supporter of CLIC and a champion of local choice.  He published and promoted CLIC’s articles on the Broadband Communities website and made sure that CLIC had a prominent role in Broadband Communities events, including the upcoming conference in Lexington.  We will send out more information on the Lexington conference later in the day, but first, we wanted to share a tribute to Scott from CLIC’s president, Jim Baller. 

A TRIBUTE TO SCOTT DEGARMO 

On Saturday, August 15, 2015, Scott DeGarmo died of pancreatic cancer at his home in Riverdale, NY, after exchanging goodbyes with his wife and daughters.  Scott was a giant in our field and a dear friend for many years. 

When Scott acquired Broadband Properties a little more than a decade ago, its activities consisted primarily of publishing a trade magazine for owners and managers of multi-tenant properties and holding an annual conference for them.  Over the years, under Scott’s visionary leadership, Broadband Properties expanded its services in the multi-tenant market and it increasingly focused its attention on the needs of cities, towns, and other localities across America for advanced communications capabilities and services.  Broadband Properties ultimately became Broadband Communities, and its magazine, primers, and other publications became must-reading for community leaders, industry executives, policy makers, and others stakeholders in America’s broadband Internet future.  Broadband Communities also hosted increasingly well-attended national and regional conferences featuring the latest and most important developments in fiber-based communications, presented by key federal, state, and local officials and a broad range of experienced practitioners.  Scott repeatedly insisted that speakers talk in plain language and provide as many real-world examples as possible, so that each attendee could take home valuable information that he or she could use immediately. 

If these had been Scott’s only accomplishments, they alone would have entitled Scott to our deep gratitude and praise.  But Scott’s contributions ran so much deeper.  In particular, in establishing the policies and high standards for Broadband Communities publications and events, Scott also played a major role in shaping and accelerating America’s deployment, adoption, and use of fiber-based broadband access to the Internet.  That is, Scott did not just disseminate information about important developments; he also had much to do with stimulating and influencing many of these developments. 

More specifically, Scott and his excellent team at Broadband Communities typically targeted the most important issues of the day and brought together the best minds to address them, with Broadband Communities readers and event attendees sharing the experience.  Among the many critical issues that Broadband Communities explored this way were how to develop a national broadband strategy, how to use advanced communications capabilities to drive and support economic development, how to stimulate broadband deployment and use in rural and other high cost areas, how to make federal stimulus-funded projects economically sustainable, how to preserve and protect local Internet choice, and how to foster public-private collaboration and partnerships.  In his quiet, understated way, Scott left an important mark on all of these issues and many more.   As Harry Truman observed, “It is amazing what you can accomplish if you do not care who gets the credit.”

But what about the man himself?  As word of Scott’s passing has gotten around, tributes have poured into Broadband Communities from all directions, from individuals and entities of all kinds.  Again and again, Scott’s many colleagues and friends have stressed his intelligence and creativity, his unbounded positive energy, his kindness and grace, his generosity, his unassuming modesty, and his deep commitment to making fiber-based access to the Internet the platform and driver of simultaneous progress in just about everything that matters to America’s communities. 

In sum, in his professional life, Scott had an extraordinary significant impact in making our corner of the world a better place.  On a personal level, he left us a wealth of warm and wonderful memories.  In fact, looking back over the last decade, it’s hard to think of many individuals who contributed more. 

Scott has now left us physically, but his legacy will live on.  In recent weeks, recognizing that his time was short, Scott repeatedly asked those of us in his leadership circle to do everything possible to ensure that Broadband Communities will continue to grow and thrive.  In particular, Scott wanted us to have a great conference in Lexington, Kentucky, from September 15-18, 2015, in part to demonstrate that Broadband Communities can remain successful without him at the helm.  Please join us there if you can.   In particular, I urge CLIC members to check out our outstanding program on the morning ofSeptember 18. 

Photo of Scott courtesy of Broadband Communities.

Fiber or Fireplace? Study Links FTTH to Increased Housing Prices

Only one in 11 households in the United States have fiber-to-the-home (FTTH) subscriptions, according to a 2014 Broadband Communities primer, but that might begin to change as more and more studies show the economic benefits of fiber. Most recently, the Fiber To The Home Council Americas funded a study in conjunction with the University of Colorado and Carnegie Mellon that showed a fiber dividend of $5,437 on a $175,000 home. Fierce Telecom reported on the results:

The boost to the value of a typical home – $5,437 – is roughly equivalent to adding a fireplace, half of a bathroom or a quarter of a swimming pool to the home.

The results of the study, which compared roughly 500,000 housing prices over the course of two years, have made their rounds on the Internet, even receiving coverage in the Wall Street Journal. It builds upon a small, but growing, body of research that links fiber deployments in homes and multiple dwelling units (MDUs) to economic growth.

As more research on housing prices and home Internet access surfaces, the value of FTTH deployments appears to be on the rise. A 2014 study by the consulting firm RVA LLC revealed a $5,250 increase in the value of a $300,000 home. Now, according to the newest study, a similar increase in value can be seen in homes worth half this amount.

The benefits of FTTH networks are not just relegated to single family homes. In 2014, the FTTH Council released a report that showed a 1.1 percent increase in GDP in communities that deploy gigabit broadband services, representing about $1.4 billion in total in the 14 gigabit communities studied.

The Council also conducted a survey in 2014 that looked at the effect of FTTH on multiple dwelling units, which we covered in an April story. Access to fiber increased sale and rental prices in MDUs by three and eight percent, respectively.

Some forward-thinking communities, like Loma Linda in California, have gone so far as to modify their municipal building codes to require new construction to install fiber connections. While not widespread, this practice could foster economic growth on a community-wide scale.

Cambridge Broadband Advocate at the Summit: "We Are the Perfect Testbed"

In April, Chris spoke at the Broadband Communities Summit in Austin. If you were not able to attend, Saul Tannenbaum's Readfold.com article gives you a taste of what it was like. Tannenbaum is a member of the Cambridge Broadband Task Force, recently set up by the city's City Manager to investigate the possibility of municipal broadband connectivity.

Tannenbaum describes his experience there and some of the typical discussions he encounters while investigating a muni network. What role should the local or state government play in bettering connectivity? What is preventing the U.S. from excelling at ubiquitous access for all income levels? Why a municipal network? For Tannenbaum, and other residents of Cambridge, those questions are especially significant because the town is historically a place of technological innovation. Gigabit connectivity may be the gold standard, but in a place like Cambridge, it is the minimum:

Cambridge has companies and institutions for whom high capacity, high speed networks are mission critical. MIT, Harvard, the Broad Institute, Google, Microsoft, Biogen-Idec, Novartis, and many others who are not yet household names, move large amounts as part of daily work. With partners like those, Cambridge can become a true testbed for the network of the future. Cambridge, where the Internet was invented, can be where the next Internet is developed.

We encourage you to read the entire article, which also offers up some great resources, but Tannenbaum made the case for his home town:

[Cambridge] pairs a legacy of being on the frontiers of social justice with an economic sector whose future health requires a free and open Internet. It is a rarity in Cambridge politics to find the interests of our innovation community and our social justice community to be so closely aligned.

FTTH Adding Value to Apartments and Condos, Studies Show

Urban real estate investors take note: FTTH has come of age in the multi-dwelling unit marketplace. (MDU). When looking for new homes, many more renters and owners are now considering FTTH a necessity.

Several studies have established that fiber raises the value of single family homes by $5,000 - $6,000 on a home valued at $300,000. A July 2014 survey, commissioned by Broadband Communities magazine and conducted by RVA LLC indicates that similar results influence MDUs. Clearly, access to FTTH adds measurable value to real estate.

The study examined numerous factors related to knowledge, use, satisfaction, and adoption of FTTH related to MDUs. RVA broke down the results by age, economics, and education attained. While some results were surprising, others were predictable. For example, level of education attained is not necessarily consistent with knowledge of the benefits of FTTH. The study reflects that those with a graduate degree did not have the same appreciation for the technology as those with some college less than a four-year degree.

The level of satisfaction when comparing FTTH to cable, DSL, wireless, and satellite options was not surprising. Of course, fiber-to-the-home far out performed any other technology.

The survey also found that access to broadband has become as important as other utilities: 

Overall, survey respondents indicated that broadband was, indeed, their top amenity. This finding confirms other recent polling and provides finer-grained details: For MDU unit owners, access to good broadband is now the top amenity by a large margin. Renters rated broadband second in terms of amenity importance, close behind “in-unit washer/dryer.” Broadband was valued highly in all types of buildings but especially in student housing and in luxury buildings.

FTTH can influence sale value by 3 percent and rental value by 8 percent. The additional revenue to the building owner far outweighs the initial investment:

For an MDU building owner, outfitting an apartment with FTTH would yield $972 more annual rental revenue and $209 more revenue from lower vacancy rates, the survey shows. Having FTTH at the site would also result in a $120 savings in marketing, administration and maintenance stemming from 31 percent lower churn and more word-of-mouth advertising, according to the survey.

In a May 2014 American Planning Association report, Investing in Place [PDF], researchers asked Millenials, Boomers, and Gen Xers to rank their priorities for urban landscapes:

When asked about high priorities for metro areas, Active Boomers cited high-speed Internet access and affordable housing equally at 65 percent each, which was second only to safe streets (79 percent). Millennials ranked internet service third with 58 percent; safe streets cited first with 76 percent and affordable housing cited second with 71 percent. Generation Xers also ranked Internet service third with 51 percent; safe streets was first (69 percent) and affordable housing was second (57 percent).

These same three metro features also were cited in the same order by three of the four different types of communities — urban, suburban, and small town — and each of the four regions. 

Fiber it quickly becoming on par with considerations of floor plan, natural light, and location. From the Broadband Communities survey:

MDU developers and managers should be marketing broadband, especially FTTH broadband, more aggressively. This is especially true given that broadband is the only amenity (in the list respondents used) that cannot be seen with the naked eye. 

CLIC Presents Special Pre-Conference Event at 2015 Broadband Summit in Austin

The 2015 Broadband Communities Summit is scheduled for April 14 - 16 in Austin, Texas. When you book your flight and reserve your room, plan on coming a day early so you can take advantage of the is year's special pre-conference event. The Coalition for Local Internet Choice (CLIC) will offer a full day's agenda on the politics of local Internet choice on Monday, April 13.

Chris will speak at both events. As Senior Advisor to CLIC, he will be speaking on Monday to CLIC pre-conference attendees and then addressing economic development at the Broadband Communities Summit on Tuesday, April 14. The Summit Agenda at a Glance is now available to view.

For a limited time, CLIC members can register online for the CLIC program for $125 and attend the entire Summit for free. Choose the CODEHOLDERS button and enter the code CLIC125 to receive the special rate.

(Pssst! This is an awesome deal! You save $895!)

New Article on Economic Development and Fiber: "The Killer App for Local Fiber Networks"

Time and again, we share economic development stories from communities that have invested in fiber networks. A new article by Jim Baller, Joanne Hovis, and Ashley Stelfox from the Coalition for Local Internet Choice (CLIC) and Masha Zager from Broadband Communities magazine examines the meaning of economic development and the connection to fiber infrastructure.

Economists, advocates, and policymakers grapple with how to scientifically measure the link between the two but:

As Graham Richard, former mayor of Fort Wayne, Ind., observed, “From the point of view of retaining and gaining jobs, I can give you example after example [of the impact of broadband]. … What I don’t have is a long term, double-blind study that says it was just broadband.” But, “as a leader, sometimes you go with your gut.”

In addition to presenting examples from a number of communities such as Chattanooga, Lafayette, and Santa Monica, the article nicely summarizes key information from recent reports on links between broadband and real estate value, household income, and local economic growth.

As the authors note:

Communities increasingly recognize that fiber networks also provide critical benefits for education, public safety, health care, transportation, energy, environmental protection, urban revitalization, government service and much more. But only in revitalizing and modernizing local economies and creating meaningful, well-paying jobs do community leaders, businesses, institutions and residents consistently find common ground. In short, economic development and job creation can fairly be called the “killer app” for local fiber networks.

Worth reading and sharing!

Broadband Communities Economic Development Conference September 16 - 18

Join Chris in Springfield, Massachusetts for the Community Fiber Networks conference in September. The meet-up is part of Broadband Communities Magazine's  Economic Development series; Chris will present at the event. The conference will run September 16 - 18 at the Sheraton Springfield Monarch Place Hotel.

Jim Baller, Conference Chairman and Principal at the Baller Herbst Law Group notes:

During the last fifteen years, thousands of communities across the United States have sought to attract or develop advanced communications networks, recognizing that such networks can provide them and the nation multiple strategic advantages in the increasingly competitive global economy. In virtually every case, fostering robust economic development has ranked at or near the top of the list of considerations motivating these communities.

Broadband Communities chose Springfield because there are multiple projects in the region, including MassBroadband123, Leverettnet, and Holyoke.

You can register online for the event and check out the agenda to plan your weekend.

2014 Broadband Communities Summit In Austin, Texas Set for April 8 - 10

The 2014 Broadband Communities Summit is scheduled for April 8 - 10 in Austin, Texas.

Chris Mitchell will be speaking at 3 p.m. on April 8 during the Economic Development Program as part of the talk titled "Economic Development: The Killer App." Chris will be back on April 10th to speak during the Rural TeleCon segment. He will present information on the state of broadband in regions that continue to struggle with connectivity. The "Envisioning a Future for Broadband Deployment" panel from 11:00 a.m. - 12:20 p.m. CST.

Other panel discussions in the Rural TeleCon segment will be:

  • The Bandwidth of the States: Where They Stand in 2014 (a quick review of broadband in all 50 states as stimulus projects roll out)
  • Financing Future Bandwidth
  • Disruptive Technology Is Spurring Learning In the Classroom
  • Measuring Prosperity from Rural Broadband Utilization
  • Cool Things Rural Communities Are Doing With Broadband

You can view the entire summit agenda online, review details about free workshops, and plan your trip. You can also register online for the event, to be held at the Renaissance Hotel in Austin.

Broadband Communities Mag Publishes List of Municipal Fiber Networks

This summer, Broadband Communities Magazine published its list of 135 municipalities that have invested in their own FTTH networks. In the May/June issue, Masha Zager finds that a growing number of communities are building fiber to the home networks. Subscriptions to the magazine are available here.

In her accompanying article [PDF], Zager describes her precise criteria for inclusion on the list:

All the network deployers on this list

• Are public entities, consortia of public entities, consortia of public and private entities or, in a few cases, private entities that benefited from significant investment or participation by local governments. 

• Own all-fiber networks that connect local homes or businesses to the Internet (or are actively developing such networks). 

• Make available – directly or through retailers – such services as voice, Internet access or video (or are planning such services). 

Zager left out commuities with Institutional Networks (I-Nets) that only serve government or schools. The list also omits communities that only lease dark fiber and those that provide services over cable or wireless.

The article discusses commonalities between municipal network communities, including the fact that many communities first run their own electric utility. Often I-Nets come first, serving municipal facilities, schools, and libraries. Next the network will serve commercial and industrial clients. Expansion to single and multi-dwelling households is usually the last step in community connectivity. As our readers know, the deployment and funding approaches can be as unique as the communities they serve.

Zager notes that a growing trend shows larger cities entering the telecommunications business. In the past, networks graced primarily small to mid-sized communities. Those communities were large enough to have necessary resources, but small enough to be ignored by major telecommunications providers.

The article also describes different types of partnerships between the public and private sectors as a way to find the right business model for delivering services. As Zager notes, state law can limits available options by creating barriers and unique regulations that only apply to publicly owned entities.

As we found in our research, FTTH networks are geographically concentrated. The census used to compile BBP Mag's data, showed nearly half of all networks located in only seven states. Zager also discussed the variety of offerings from municipal FTTH networks. She noted that some open access networks seek vendors to offer diverse services beyond triple play:

For example, on St. Joe Valley Metronet, 30 providers deliver 20 different types of services, including such offerings as conferencing, disaster recovery and video surveillance. Enabling a wide variety of broadband services could become a way to make more community networks financially viable. If this strategy succeeds,
more municipal networks – at least larger networks – may follow suit.

Zager's article is a good resource to share with those who may not be well-versed in the world of municipal FTTH networks. She concentrates on some major trends and provides just enough detail to whet a curious appetite. Recommended.