Tag: "state laws"

Posted January 12, 2011 by christopher

A group of towns in rural western Massachusetts, having already decided on a cooperative structure, have now started the process of joining the coop in order to eventually build an open access FTTH network to serve everyone in each of the member towns.

Originally, the Wired West towns looked to a similar project in Vermont, East Central Vermont Fiber Network, for guidance but found Massachusetts law did not allow them to use the same joint powers agreement approach. After researching Massachusetts law, they found a law previously used by towns to form "light plants" for electrification. In more modern times, the law had been amended to allow such an entity to offer cable television and telecom services. Of the forty muni light plants in Massachusetts, some four provide telecom services.

In order to join the coop, a town has to twice pass a 2/3 vote by those in attendance at a town meeting. The meeting must be no less than 2 months apart and no more than 13 months apart. In talking with folks from Wired West, this approach appears to be unique to Massachusetts.

From the Wired West site:

Passing the MLP legislation creates a new town department, and does not require a town to produce or sell electricity. The Selectboard can choose to oversee its MLP department themselves or appoint a three to five member board. This group is responsible for appointing a manager, making decisions around the town’s participation and representation in the WiredWest Cooperative, and filing annually with the State.

Creating the MLP incurs no cost to the town. If a town decides to join the WiredWest Cooperative, there will be a membership fee of not more than $1,000 per town.

The coop requires at least 2 towns, but that does not appear to be doubt. The towns to consider it thus far have been enthusiastic - Wired West has a helpful map showing where local towns stand in the process. In general, Wired West is an excellent example of how community groups can use a website to keep people...

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Posted August 30, 2010 by christopher

A local news story from WCNC in North Carolina has caught national attention among some tech news sites. As reported by WCNC, Fibrant will start beta testing its community fiber network next month (which answers a question we have been wondering -- just what is happening down there?). We have covered Salisbury previously here.

The video:

This video is no longer available.

Senator Hoyle still relies on his two mutually exclusive talking points: "cities should not do this because they are terrible at it" and "it is not fair for cities to do this because they will crush private providers who are unable to compete." Of course, if cities really did fail at this with any sort of regularity, they would not pose a threat to private providers.

But that is not what caught the interest of Ars Technica, Tech Dirt, and DSL Reports.

This is:

When the I-Team asked him if the cable industry drew up the bill, Senator Hoyle responded, "Yes, along with my help."

When asked about criticism that he was "carrying water" for the cable companies, Hoyle replied, "I've carried more water than Gunga Din for the business community - the people who pay the taxes."

Big companies like Time Warner employ a lot of smart accountants to avoid paying even their fair share of taxes -- perhaps Senator Hoyle should not confuse them with the many small businesses that do pay their share.

From Ars Technica's "Who writes pro-cable Internet legislation? Cable does":

Yikes. In Hoyle's defense, this sort of practice is not uncommon—legislators often work with interest groups on particular pieces of legislation or on letters that go out under their name. But letting those who stand to benefit financially sit down and actually draft the bill protecting their interests, then bragging about how you carry more water for them "than Gunga Din...

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Posted February 10, 2010 by christopher

The Design Nine blog alerted me to a bill in New Hampshire that would modify state law to allow communities to build publicly owned networks. It appears they may currently invest in a network in unserved areas -- though few places are entirely unserved. Most places have pitifully slow and overpriced DSL available to at least some residents. This bill would expand their authority to build networks.

Unfortunately, I have no sense of how likely this is to pass. The story in the Concord Monitor suggests it is seeing intense opposition from the usual sources - the private companies that want to decide alone who gets access to the Internet at what speed and at what price.

Unfortunately, the proponents of the change appear poised to limit themselves to a purely open access model - a limitation that could greatly hurt them as they build a network. Communities must be free to choose a business model that works, not have it imposed by a "compromise" at the legislature.

Requiring open access actually compromises the vitality of the network. Open access is an incredibly powerful idea - introducing real competition where people have long had no choices. But no community has yet made it work financially from the start. The early years are brutal for a network where the owner cannot provide services -- there are difficulties in aligning the incentives for those involved and generally insufficient revenue to make debt payments in the early years.

Communities must fight for the right to offer services, even if they would prefer not to. Offering services generates more revenue when it is most needed - the early years. Allowing Comcast and FairPoint to define the business models of communities is poor policy. The New Hampshire legislation - HB 1242 - is available here.

We wish communities like nDanville and the Wired Road luck as they expand to citywide networks on an entirely open access basis. However, existing experience suggests that communities should focus first on getting the numbers to work and then opening the network to greater competition down the road.

Posted June 9, 2009 by christopher

Written Statement of Mr. Joey Durel Jr., City-Parish President of Lafayette,
Louisiana on behalf of the American Public Power Association
To the House Energy and Commerce Committee, Subcommittee on
Telecommunications and the Internet
H.R. __, a Discussion Draft on Wireless Consumer Protection and Community Broadband Empowerment
Wednesday, February 27, 2008

Good morning Chairman Markey, Ranking Member Stearns and members of the Telecommunications Subcommittee. My name is Joey Durel and I am the City-Parish President of Lafayette, Louisiana. I am testifying today on behalf of the American Public Power Association, of which Lafayette is a member. I am also the current Vice-Chairman of APPA’s Policy Makers Council.

The American Public Power Association (APPA) is the national service organization representing the interests of the nation’s more than 2,000 state and community-owned electric utilities that collectively serve over 44 million Americans. These utilities include state public power agencies, municipal electric utilities, and special utility districts that provide electricity and other services to some of the nation’s largest cities such as Los Angeles, Seattle, San Antonio, and Jacksonville, as well as some of its smallest towns. The vast majority of these public power systems serve small and medium-sized communities, in 49 states, all but Hawaii. In fact, 75 percent of publicly-owned electric utilities are located in communities with populations of 10,000 people or less.

Many of these public power systems were established largely due to the failure of private utilities to provide electricity to smaller communities, which were then viewed as unprofitable. In these cases, communities formed public power systems to do for themselves what they viewed to be of vital importance to their quality of life and economic prosperity.

This same development is occurring today in the area of advanced communications services just as it did in electricity over 100 years ago. Public power systems in some areas are meeting the new demands of their communities by providing broadband services where such services are unavailable, inadequate, or too expensive. These services, provided with high quality and at affordable prices, are crucial to the economic success of communities across the nation.

Thus, Mr. Chairman, my testimony today will focus exclusively on...

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