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Posted December 15, 2015 by christopher

When Hudson, Ohio, businesses couldn't get the connectivity they needed from the incumbent cable and telephone companies, the local government stepped up to provide what it calls a "service" rather than a "utility." Hudson City Manager Jane Howington joins me this week to explain their approach in Episode 181 of the Community Broadband Bits podcast.

Hudson has a municipal electric utility already and is now investing in a fiber optic network to connect local businesses. Branded "Velocity," and launched earlier this year, the network is exceeding expectations thus far in terms of local business interest.

City Manager Howington and I discuss how they decided to build a network, their incremental approach, and how they will know if they are successful in coming years.

The transcript from this episode is available here. Read our full coverage of Hudson here.

We want your feedback and suggestions for the show - please e-mail us or leave a comment below.

This show is 22 minutes long and can be played below on this page or via iTunes or via the tool of your choice using this feed.

You can can download this Mp3 file directly from here. Listen to other episodes here or view all episodes in our index.

Thanks to Arne Huseby for the music, licensed using Creative Commons. The song is "Warm Duck Shuffle."

Posted November 30, 2015 by Scott

Fairlawn, Ohio this fall took a “huge step forward” toward launching its own high-speed municipal broadband utility.

The City Council recently approved hiring a consultant to design and establish the business model for building “FairlawnGig,” a municipal broadband network. At completion, the city envisions the new utility will provide the community with comprehensive Wi-Fi connectivity and Fiber-To-The-Home (FTTH) service for businesses and residents.  

Faster Internet speeds  

“It will be a fiber network that will give one gig (i.e. gigabit per second or Gbps) of service, which is 1,000 times what people have right now,” City Deputy Service Director Ernie Staten said in an Akron.com news report. He added:

That’s a huge step forward for the City of Fairlawn. The future of TV, phone and Internet is to stream them all through the Internet. To do that with the current systems that we have is very difficult, but one gig of service would allow residents to stream as many videos as they want and to work from home as well as they possibly can.

In announcing plans for the project, earlier this year, the city said its goal is to:

...[O]ffer competitive fixed residential and business broadband services with speeds of 30 Mbps up and 30 Mbps down, and unique mobile Wi-Fi services with high-speed secure connections of 20 Mbps to smartphones and tablets throughout Fairlawn.

Besides the city of Fairlawn, a community of about 7,500 residents, the new municipal broadband utility would also include the Akron-Fairlawn-Bath Joint Economic Development District. The geographic area includes the communities of Akron and Bath in the new broadband utility service area. In Ohio, joint economic development districts are a vehicle to encourage communities to partner on infrastructure improvements, such as water and sewer service, without annexation. 

When the Fairlawn fiber network is completed, services up to 1 Gbps will be possible.

Public-private partnership planned  

Although many details of the project are still a few months off...

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Posted November 18, 2015 by Scott

The City Council of Upper Arlington, Ohio on Oct. 26 approved several contracts that will enable the community to build a municipal fiber-optic network to key anchor institutions for an estimated $2.5 million.

Upper Arlington’s project will provide high-speed Internet service for the city’s buildings, the Public Library, Upper Arlington city schools, and most city parks according to a news report from the Upper Arlington News. The 30-mile fiber network will serve about 40 locations around the boundaries of the city (population 34,000).

Besides establishing better connectivity between the three public partners’ buildings, the network is expected to provide opportunities for commercial companies to lease telecommunications services. The network would allow the city to lease some of the 288 fiber strands to commercial companies, such as other Internet Service Providers (ISPs).

Financing and Break Even

Under the cooperative arrangement, the library will contribute $17,616 annually, the city $68,484 per year and the school district $177,900 each year until the project is paid off. “These costs are derived from the amounts that each entity is currently paying for leased broadband connectivity between their facilities,” Upper Arlington Assistant City Manager Dan Ralley told us. 

The period anticipated to pay off the network construction is nine years with the school district and library able to extend the parties’ shared-services agreement for an additional 15 years after. The extensions would occur in three five-year segments.

Cost savings, broader bandwith

Ralley says the primary benefits of the new city fiber-optic network will be significantly lower long-term bandwidth and broadband access costs.  For example, the city of Upper Arlington expects to save about $1,280 a month for Internet service by building its own fiber network. Over 10 years, the city’s savings would total about $150,000.

And the municipal network will be a boon for the Upper Arlington public schools. In an Oct. 19, 2015 staff report, Ralley said:

Upper Arlington Schools’ available bandwith capacity is a...

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Posted October 27, 2015 by ternste

In mid-September, Hudson, Ohio launched its Velocity Broadband service, bringing 1 gig connectivity to a large business complex. The commercial site is the first in series of industrial areas where the city officials plan to bring the network in the coming years. The community, located near Akron, hopes to eventually bring Velocity Broadband to residential areas.

The network is already exceeding expectations. Less than a month after the initial network launch, City Manager Jane Howington said local officials expect to surpass their goal of 50 customers by the end of 2015:

"It's moving faster than we thought," said City Manager Jane Howington. "Demand has been much greater than we thought."

Merchants are embracing Hudson’s new status as a “Gig City,” offering “Giga Specials” during the month of October and the city’s mayor declared October “Gigabit City Month.”

According to the city’s Broadband Needs Assessment, Hudson is building the network in response to significant problems with the city’s existing broadband options. Small and medium sized companies complained to the city’s consultants on the network that they have “learned to live with” problems of poor reliability, performance, and affordability of the city’s broadband services. They said even the best available broadband service options over DSL and cable are inadequate and negatively affect their ability to do business.

City officials plan to continue rolling out access to the city’s downtown area next year and to other business areas soon after. Although the city of 22,500 has no timeline on residential service, city officials have expressed the intent to eventually bring the fiber optic network to every home.

We first reported on Hudson's plans in July 2014 when the community began exploring the idea of using fiber from its existing I-Net to serve local businesses. Hudson will deploy incrementally with its own public power utility crews...

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Posted September 1, 2015 by lgonzalez

Hamilton, Ohio, has entered into a partnership with local firm, CenterGrid, to use city-owned fiber to boost economic development. The firm will offer Internet access and data transport to local businesses via existing infrastructure as the two enter into a five-year pilot project agreement, reports the Journal-News.

The city's business incubator, the Hamilton Mill, is the initial pilot site where emerging businesses are already receiving high-speed connectivity:

“As the initial pilot site, CenterGrid’s service has resulted in the Mill receiving network connectivity that is better than 83 percent of Internet connections throughout the US — that is huge,” Chris Lawson, executive director of the Hamilton Mill said. “For the types of companies that we are attracting, this level of connectivity is imperative for them to be successful.”

A press release from CenterGrid describes rates as economical, competitive, and determined by individual business requirements. According to the press release, entrepreneurs at The Mill are already taking advantage of the service:

"We've wanted a better high-speed internet option for quite some time. Now having something locally provided by the City of Hamilton and CenterGrid makes the idea that much more appealing. This high-speed circuit will allow us to transform our IT infrastructure and deliver value to our business," said Jon Corrado, IT Director at Tedia.

In 2014, the community of Hamilton connected local schools to city fiber allowing them to obtain Internet access from the Southwest Ohio Computer Association Council of Governments (SWOCA-COG). That opportunity decreased school connectivity costs while increasing bandwidth.

City leaders hired a consultant in 2012 who determined that opening up their existing 60-mile I-Net loop to schools and businesses was feasible and would contribute to economic development. Over the course of three years, the project...

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Posted August 13, 2015 by lgonzalez

Hudson, Ohio's upcoming municipal network, Velocity Broadband, may be serving commercial customers as early as September, reports the Hudson Hub Times. At a July 22nd Rotary Club meeting, Assistant City Manager Frank Comeriato presented details on the plan. The city has no plans to serve residents but once business services are in place, they may consider a residential build out.

The gigabit network, to be owned and operated by the city of Hudson, will be deployed incrementally. Incumbents Time Warner Cable and Windstream serve local businesses but a majority complain of unreliable connections and unaffordable prices in the few places where fiber is available.

Earlier this year, the city conducted a survey and businesses responded:

"They wanted better service and speed," [Comeriato] said. "After only two vendors responded to the city to offer the service, the city decided it could offer the service like it offers public power, water and other infrastructure."

Hudson officials realize that it connectivity is an essential service for economic development and that businesses have no qualms with relocating to places where they can get the bandwidth they need:

"Economic development is 80 percent retention, and Hudson businesses are unhappy with their current service, he added. "They want something like this."

Hudson Public Power has been preparing by training crews to deploy the infrastructure. Like other communities that have recently decided to invest in municipal networks, Hudson will focus only on Internet access and voice.

Earlier this year, the City Council approved the initial $800,000 capital expenditure to begin the deployment. According to Hudson Communications Manager Jody Roberts, the city expects to spend another $1.5 million in 2016 on infrastructure before they light the network, scheduled for 2016.

"We will then determine any additional amounts needed in [future] years, since by then we will be bringing in money in the form of monthly fees from...

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Posted August 3, 2015 by lgonzalez

Two more communities in Ohio and Colorado are seeking information through broadband feasibility studies.

The Aspen Daily News recently reported that Pitkin County has already completed phase one of its feasibility study. This past spring the primary Internet path coming into Aspen via CenturyLink fiber was severed causing widespread outage for 19 hours. The first half of the feasibility study sought ways to introduce a redundant path.

The first option was a 100 percent fiber solution and a hybrid fiber/microwave solution was proposed as an alternative. For option A, the consultants recommended a fiber backbone along Highway 82 with fiber lines running into Redstone, Marble, and Snowmass. Microwave could serve nearby Fryingpan Valley. Option B would travel the same route but make more use of microwave.

Early cost estimates:

Estimated operating costs for option A would be more than $122,000 per year, while option B would cost just over $92,000 annually. Yearly maintenance costs for the fiber-only model were projected at just under $62,000, and the hybrid model would run more than $123,000.

A survey or residents in several communities in Pitkin County indicated most are not happy with speeds or reliability of current Internet access. Approximately half of the region does not have broadband as defined by the FCC at 25 Mbps download and 3 Mbps upload. 

[One of the consultants] said that according to the survey, customer satisfaction in the area is “significantly low.” It also noted that 34 percent of responders said they run a business out of their home, and an additional 10 percent replied that they will start up an in-house business within the next three years.

Adams relayed that more than half of respondents felt that the county should build some sort of “state-of-the-art communications network.”

“It’s clear that the residents would like to see the county do something,” he said.

County Commissioners chose to instruct staff to pursue a $150,000 matching grant from the Colorado Department of Local Affairs to help fund the second half of the feasibility study. The second phase ail focus on developing a financial plan and business...

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Posted June 24, 2015 by htrostle

Consolidated Electric Cooperative, a nonprofit, member-owned cooperative, will soon offer gigabit broadband in rural North Central Ohio. They intend to first offer the gigabit to local schools and then to businesses.

According to eSchoolNews, Consolidated Electric Cooperative will provide 15 school districts with gigabit connectivity. The school districts will then have greater access to online resources and be better able to comply with mandated online testing in Ohio. In the article, Doug Payauys, vice-president of information systems for Consolidated Electric Cooperative, described the need for improved Internet access in schools:

"Technology is creating a shift in today’s classroom, and it’s transforming the way teachers educate and students learn. As the country becomes a more digital-based society, schools must work to transform lesson plans and accommodate new technologies” 

The gigabit broadband will also improve the Wi-Fi in the school districts, providing more bandwidth for wireless learning devices. Wireless connections almost always depend on wireline backhaul to ensure each access point does not have a bottleneck between the user and the larger Internet. With better Wi-Fi, the schools hope to support an online curriculum for students to learn at their own pace.

Consolidated Electric Cooperative also intends to offer the gigabit connectivity to local businesses. They already offer some broadband connections to businesses through their Enlite Fiber Optic Network. They first began to develop this network in 2010 with some costs covered through the Broadband Initiatives Program created by the stimulus effort. Since then, they have expanded the network which now consists of 200 miles of fiber optic cable from Columbus to Mansfield, spanning five rural counties in North Central Ohio.

They currently do not offer residential fiber, focusing instead on providing a middle mile connectivity to governments, schools and businesses. They are, however,...

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Posted June 4, 2015 by lgonzalez

Dublin, Ohio's Dublink has been saving public dollars and spurring economic development since 2002. The gigabit fiber network is on the verge of a 100 gigabit upgrade. The Dublin Villager reports that in early May the City Council voted to implement the 100-Gigabit Dublink Ignite program.

According to the Villager:

The city has budgeted $865,000 over the next six years to complete the project, [City Manager Dana] McDaniel said, and will also use $300,000 in state funds and $360,000 from the Ohio Academic Resource Network for use of additional fiber optics for the project.

Increasing the city's fiber capability will allow the Dublin to provide fiber optics to older office buildings and make then more attractive, McDaniel said.

In addition to bringing fiber to a greater number of office buildings, the project may even lead to "fiber to the cubicle." 

As we reported in 2014, Dublin collaborated with the Ohio Academic Resources Network (OARnet) to create CORN, also known as the Central Ohio Research Network. This new 100 gigabit initiative plans to encompass those partnerships so companies can potentially access OARnet and CORN.

Dublin operates a "meet me" room at a local data center and anticipates using that facility as a place were a number of ISPs can compete for commercial customers. 

According to a detailed memo from Dana McDaniel [PDF], the city has calculated significant benefits for local businesses. Here are just a few (emphasis ours):

  • Backhaul to the local data center (Metro Data Center). This represents monthly cost savings to the company in the form of avoided carrier costs. Such cost savings are estimated to be $400/month or $14,400/3 year for 10 Mbps level of service; $800 /month or $28,800/ 3 year for 100 Mbps level of service; and $2000/month or $72,000/3 year for 1 Gbps level of service
  • Provide server space, at not cost, to local companies so they can create a presence in the local data center. Average cost per month for this service is estimated...
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Posted March 26, 2015 by lgonzalez

Hudson is moving ahead with plans to develop a publicly owned fiber network, reports the Hub Times. The City Council recently approved a contract with a consultant to develop a conceptual design, implement the plan, and recruit service providers interested in operating over an open access network.

In January, the town of about 23,000 conducted a residential and business survey to determine the overall state of broadband in the community. At a February meeting, the Council reviewed the survey results. Almost 1,000 residents and 133 businesses answered the survey which revealed that Internet services were lacking in coverage, speed, performance, and reliability. From a February Hub Times article:

Hudson's small and medium business community reported many issues with their current broadband services, citing poor reliability and performance as negatively affecting their ability to do business in the city. Many businesses wanted to upgrade to a better service but found that they could not afford to do so.

Consultants recommend building off the community's fiber I-Net to improve connectivity for local businesses. According to the city's Broadband Needs Assessment and Business Plan, Hudson will also consider offering services as a retail provider if no ISPs express interest in using an open access city infrastructure.

If the city  decides to pursue the open access model, consultants estimate Hudson will need to spend approximately $4.9 million to four commercial areas of town. With the added expenses and responsibilities as a retail provider, the costs would likely run closer to $6.5 million. The plan suggests deploying to businesses first and later add a residential buildout.

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