Tag: "legislation"

Posted December 15, 2015 by rebecca

The Salt Lake Tribune published this op-ed championing local investment in Internet infrastructure on December 11, 2015.

 

Op-ed: Spanish Fork’s success shows municipal Internet networks work

By Christopher Mitchell

For nearly 10 years, large telephone and cable companies have claimed municipal Internet networks are so risky that local government authority should be restricted. But after 15 years of experience, we can only conclude that the cure is worse than the disease.

Utah has three municipal networks, where local governments invested in Internet infrastructure to provide choices in a monopolistic environment. But only two of those networks are regularly discussed and used as examples of why local governments shouldn't be in this business: iProvo and UTOPIA, which were not able to meet their financial targets.

The network missing from the conversation is Spanish Fork Community Network, which has just finished paying off its debt and has generated millions of dollars in surplus revenue for the community. The network is now upgrading from community cable to community gigabit fiber optics.

Of the over 450 municipal networks tracked by the Institute for Local Self-Reliance, Spanish Fork's experience is above average. The vast majority of municipal networks deliver benefits well in excess of costs and do not require subsidies to operate.

It may come as a surprise, but iProvo and Spanish Fork are nearly twins, separated at birth and raised in dramatically different environments. Both were conceived at the same time — the same consultant did the feasibility study for each. But Spanish Fork, being smaller and more nimble, was able to move forward before Utah's Legislature weighed in to restrict local decision-making.

Comcast and the predecessor to CenturyLink crafted the legislation, which was revealed in a brilliant 2011 BusinessWeek article aptly entitled "Pssst … Wanna Buy a Law?" by Brendan Greeley and Alison Fitzgerald.

Since then, any new Utah municipal network has been subject to numerous requirements unlike anything private providers face, including a de facto requirement to use a wholesale-only arrangement.

Provo wanted to use the same business model as Spanish Fork, which we now know was tremendously successful. Whereas Spanish Fork could directly...

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Posted December 8, 2015 by christopher

Eleven months ago, we noted the incredible energy in the Maine Legislature around improving Internet access. Maine State Representative Norm Higgins joins us this week for Community Broadband Bits Podcast episode 180.

Rep. Norm Higgins, a newcomer to the Legislature, pushed hard for legislation to encourage municipal open access networks as well as removing barriers to increased investment including a tax on the Three-Ring Binder project. He was part of a large majority that moved some key bills forward despite fierce opposition from Time Warner Cable and others.

We talk with Rep. Higgins about the various bills, including LD 1185, which would have created planning grants for community owned open access networks but passed without any funding.

Read the transcript from this episode here.

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

This show is 18 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 20, 2015 by lgonzalez

As the Sixth Circuit Court of Appeals considers the FCC's decision to roll back Tennessee and North Carolina anti-muni laws, elected officials opposed to local authority are mounting an assault to head off possible enabling legislation. Their first target is the House of Representatives.

Poison Pens

South Carolina Governor Nikki Haley, North Carolina Attorney General Roy Cooper, Tennessee Attorney General Herbert Slattery, Tennessee Governor Bill Haslam, and Alabama Attorney General Luther Strange all sent letters to the Chairman of the House Energy & Commerce Committee, Fred Upton (R-MI). Their letters express derision at the thought of allowing local communities the ability to make decisions for themselves when it comes to ensuring local businesses and residents have the Internet access they need.

Communities with publicly owned networks such as Chattanooga, Tennessee, and Wilson, North Carolina, have prospered compared to those relying only on the large incumbent cable and telephone companies like Comcast and AT&T. Data suggest access to publicly owned networks contribute to local prosperity. Nevertheless, these elected officials have chosen to support big ISPs rather than their own constituents.

Elected Officials Protecting Campaign Interests

When the FCC released its Opinion and Order scaling back state restrictions in Tennessee and North Carolina, legislators backed by ISP powerhouses took up arms. They introduced bills, wrote editorials, and delivered speeches that put profits of AT&T and Comcast before the rights of Tennesseans and North Carolinians to have fast, affordable, reliable Internet access.

Tennessee Governor Haslam and North Carolina AG Roy Cooper each filed an appeal, to reverse the FCC's decision and keep the laws limiting...

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Posted October 12, 2015 by lgonzalez

Mount Washington's 167 residents will not let their small size defeat their big plans for a municipal fiber network. The community is seeking permission from the state legislature to finance, own, and operate a municipal Internet network. The bill granting Mount Washington the authority to do so, S1978, recently passed in the Senate and then moved to the House to await review.

"The Town Among The Clouds" sought special legislation to avoid being bound by the state's requirement that communities establish a Municipal Light Plant (MLP). The MLP is a separate department responsibile for municipal electricity and broadband service. Town leaders believe an MLP would be an administrative burden for such a small community; the State Senate agrees.

Many other communities in western Massachusetts have signed up to work with the WiredWest broadband cooperative to improve local connectivity. Mount Washington residents feel they can complete the project sooner on their own. 

Mount Washington, sitting in the Taconic Mountains, is the westernmost and southwesternmost town in Massachusetts and the smallest town in Berkshire County. Mount Washington State Forest and Mount Everett State Reservation cover much of the town creating a forested, sparsely populated area.

According to the Berkshire Eagle:

[Selectman Chair Brian] Tobin said Internet access in Mount Washington is nearly non-existent. Some residents have satellite dishes and other have long-distance Wi-Fi service, "but to my knowledge, no one has dial-up service."

All of these options, he said, are slow and at times unreliable.

Residents consider the project necessary infrastructure:

Tobin said the town opted to push forward on funding and building its own infrastructure because the plan will allow the community to pay for it the same way as any other town project, such as roads and buildings.

"It's something we have to do as a town," he said. "And we have the support for it."

Posted June 29, 2015 by christopher

Following up on our post last week noting the new video from Tennessee Fiber Optic Communities, another video recently posted explains what needs to change in Tennessee law for Chattanooga to expand Internet access beyond the current footprint. EPB Chief Operating Officer David Wade also explains the process the municipal electric distributor will use to connect nearby communities.

Posted June 22, 2015 by lgonzalez

As we have learned, communities with municipal networks have tended to be politically conservative. Nevertheless, conservative state level politicians have often supported measures to revoke local authority to encourage local Internet choice. Recently, Alabama State Senator Tom Whatley, a Republican from Auburn, expressed his support for local authority in AL.com.

Whatley introduced SB 438, which would remove service area restrictions on municipal providers and remove the currently restriction preventing other municipalities from providing voice, video, or Internet access services. As he notes in his opinion piece, the bill did not move beyond the Transportation and Energy Committee, but he also asserts that he will be back next year to press for the measure. 

Auburn is near Opelika where the community has deployed a FTTH network to serve residents and spur economic development. If the restrictions are eliminated, Opelika could expand to Auburn and even other rural areas nearby.

Whatley makes comparisons to the strides America made with the national interstate system. He also acknowledges the way Chattanooga's network has transformed what was once described as the "dirtiest city in America." Whatley takes the same approach we encounter from many communities where, after failed attempts to entice private providers to serve their citizenry, eventually decided to take on the task themselves.

He writes:

As a Republican, I believe the private sector is usually the best and most efficient method for providing a service. But when private companies, for whatever reason, make a decision not to serve an area, we should not handcuff the people of that region if they decide to use a public entity to receive that service (in this case, broadband Internet) in order to compete today for the jobs of tomorrow.

Posted June 9, 2015 by lgonzalez

On June 5th, the Main House of Representatives voted 143 - 0 in favor of LD 1185, the Maine bill to provide state planning and implementation grants for local municipal networks. Representative Norm Higgins, the sponsor of the bill, contacted us to let us know about the incredible support for the bill.

LD 1185 proposes to provide $6 million this year for local communities seeking to establish networks that want to take advantage of the state's middle-mile network, the Three Ring Binder. The House amended the bill to include general goals for the fund and its purpose in bringing better connectivity to Maine. 

The amendment also creates specifications between planning and implementation grants and establishes caps on awards. Planning grants cannot exceed $25,000 and implementation grants cannot exceed $200,000. Implementation grants require a 25 percent match from the requesting municipality; planning grants require a one-to-one match. The amendment is available online.

Now that the House has put their stamp of approval on the bill, it is up to the Maine Senate to  approve the measure and send it on to the Governor. According to Higgins, it appears to have strong bipartisan support; funding is the only area of uncertainty. He anticipates it will be before the Appropriations Committee within the next two weeks.

Posted June 5, 2015 by lgonzalez

We have reported on the American Legislative Exchange Council (ALEC) in the past and stories about ALEC sponsored legislative retreats pop up in the news on a regulary basis. Most recently, NBC Channel 11 from Atlanta reported on the shadowy world of big corporate influence in Georgia. 

None of this will be new to anyone familiar with ALEC's shadowy way of doing business, but having it on video makes it more compelling.

Brendan Keefe visited Savannah and tried to observe one of these meetings between ALEC corporate members and state legislators. Even though Keefe and his crew had an official press pass, they were blocked from entering the meeting.

Keefe spoke with a Georgia State Senator Nan Orrock, who once belonged to ALEC. She told him about the meetings, paid for with ALEC funds or "legislator scholarships," and pointed out the true nature of the closed door gatherings:

It's really a corporate bill mill…the truth be told, they write the bills.

Even though Keefe was not able to attend one of the meetings, he did encounter a legislator and several lobbyists in the bar the night before. They didn't mind describing what they were doing in Savannah and who paid the bill. Watch the brief expose below.

We also include a 2013 Real News video with Branden Fischer from the Center for Media and Democracy. He goes more indepth on ALEC's modus operandi and its membership.

Posted May 21, 2015 by lgonzalez

In late April, LD 1185 and several other broadband bills came before the Maine House Energy, Utilities, and Technology Committee. We have seen a flurry of activity in Maine this year as local communities deploy networks, develop plans, or begin feasibility studies. Likewise, the state legislature has been active as House and Senate members try to defibrillate the barely beating heart of the state listed as 49th for broadband availability.

The national providers in Maine - Time Warner Cable and FairPoint have little interest or capacity to invest in high quality services in Maine. Time Warner Cable is more focused on major metros and being acquired. FairPoint is laying off workers and also, positioning itself to be acquired. Fortunately, these big companies aren't the only option for improving Internet connectivity in Maine.

LD 1185, presented by Representative Norm Higgins, seeks to establish $6 million this year in funds for local communities that wish to deploy municipal networks. Maine already has the middle mile Three Ring Binder in place; the focus of this proposal is to help communities get the infrastructure they need to connect to it. In an effort to get the word out about the bill and grow support, Higgins and his team created this graphic explaining the proposal (a 2-page printable edition of the graphic is available for download from the link below):

LD 1185 Graphic

LD 1185 Graphic

According to a recent Legislative Bulletin from the Maine Municipal...

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Posted April 27, 2015 by lgonzalez

ECFiber hopes to transform its business model in order to attract investors, reported Valley News in February. The organization is now an "inter-local contract," an entity somewhat unique to Vermont, but seeks to change to a "telecommunications union district." Similar to a municipal utility district, the telecommunications union district is created by two or more municipalities. The new business model would not change ECFiber's governance or require financial support from local towns but officials believe it would attract more outside investors.

Last year, ECFiber announced it would expand in 2015, seeking large scale funding to help speed up deployment. Since 2008, the organization has raised over $6 million for deployment from individual investors and now serves more than 1,000 subscribers. Unfortunately, this method financing slows expansion. The results are bad for ECFiber and bad for local consumers:

“The worst thing (about ECFiber’s delay) is a lot of the people who wanted to have it weren’t able to get it right away,” said [ECFiber Treasurer John] Roy.

At this point, FairPoint, Northern New England’s provider of land-line service, is able to reach more rural areas than ECFiber with its high-speed Internet service. But, FairPoint’s speeds of up to 30 megabits per second are slower than the 400 megabits per second ECFiber’s cables can provide, said Roy.

“If we’re going to get this job done before the end of this decade, we need to step up the rate,” said [Irv] Thomae [ECFiber's Governing Board Chariman].

It would take another 17 - 18 years to deploy 1,600 miles of fiber, the ECFiber goal. If the organization can raised $40 million from larger investors, that period can be reduced to 3 - 5 years, estimated Roy.

In order to achieve the business model change, ECFiber seeks approval from the State Legislature, which will create a union district via H 353 [PDF]. Local communities served by ECFiber must also approve the measure by ballot at their Town Meetings. Thetford approved the measure in February and ECFiber officials expected other communities to follow...

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