Two Ohio State Senators are taking a page from Minnesota’s playbook to expand rural broadband connectivity. Democratic Sen. Joe Schiavoni and Republican Sen. Cliff Hite recently announced that they would be introducing legislation to create a grant program modeled after the Minnesota Border-to-Border Broadband Grant Program.

Putting Money Into It

The program is expected to expand broadband Internet access to approximately 14,000 rural Ohio households per year. State officials estimate that 300,000 homes and 88,500 businesses in rural areas of the state do not have access to broadband connectivity.

In Minnesota, the Department of Employment and Economic Development hosts the Office of Broadband Development, which administrates grant awards and management. The Ohio bill will place the responsibility for the program in the hands of their Development Services Agency (DSA).

Grants will be awarded of up to $5 million for infrastructure projects in unserved and underserved areas; the grants cannot fund more than half the total cost of each project. Recipients can be businesses, non-profits, co-ops or political subdivisions. The bill allocates $50 million per year for broadband development from the state’s Ohio Third Frontier bond revenues.

The Ohio Third Frontier is a state economic development initiative aimed at boosting tech companies that are in early stages and helping diverse startups. The Ohio General Assembly appropriates funds to the program, much like the Office of Broadband Development in Minnesota.

Minnesota Setting The Trend

This isn’t the first time politicians have looked longingly at Minnesota’s plan to build more network infrastructure in rural areas. Ralph Northam, Virginia’s Lieutenant Governor, released an economic plan for his state this summer and addressed the need to improve connectivity in rural areas. In his plan, he suggested that the state adopt clear goals “[s]imilar to the legislation Minnesota has passed.”

His report...

With the right policies and local investment, Spiral Internet could bring high quality Internet access to much of northern California. Spiral is a small private company and its CIO, Michael Anderson, talks with us today for episode 267 of the Community Broadband Bits podcast. 

We discuss Spiral's enthusiasm for open access fiber networks and how the California Public Utilities Commission (CPUC) is funding some rural Internet investment. In particular, we get a sense of how Spiral is making the transition from reselling DSL to fighting for open fiber networks in rural California. 

One of the larger challenges today is an effort in the California Legislature to modify the rural broadband subsidy program to essentially give AT&T veto power over the CPUC grants. As we have discussed many times before, AT&T and some of the cable companies want a right of first refusal to grants, a policy that would dramatically disrupt the process for the smaller companies that are actually investing in high quality connectivity in areas poorly served by the incumbents. 

Read the transcript of this show here.

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Thanks to Arne Huseby for the music. The song is Warm Duck Shuffle and is licensed under a Creative Commons Attribution (3.0) license.

The State Legislature in Indiana sent SB 478 to Governor Eric Holcomb earlier this session; he recently signed the bill into law. Also known as the Facilitating Internet Broadband Rural Expansion (FIBRE) Act, the new law allows electric cooperatives with easements for electric lines to use those same easement for fiber infrastructure. The change in existing law will allow rural electric cooperatives to bring high-quality Internet access to the many rural regions in Indiana that are now unserved or underserved.

Updating Easements For Connectivity

SB 478 applies only to existing easements between electric suppliers and property owners. It doesn’t apply to new electric easements, railroad property, or the installation of new poles, conduit, or other structures. Other exceptions also apply to limit the new easement applications to existing infrastructure. 

The language of the bill provides in detail the steps that a property owner can take if they oppose the installation of the new infrastructure under the purview of an existing easement. It also lays out the information that an electricity provider must provide to the property owner regarding the plan for fiber infrastructure deployment and planned delivery. The bill goes on to establish further procedures if a property owner decides to pursue legal action if they feel their property value is decreased due to the new infrastructure or other related matters.

Lastly, the bill lays out procedural requirements for an electric cooperative that decides to offer broadband Internet. They must create a separate entity and maintain a separate accounting system.

Read the entire bill here.

Learning From The Co-op Guys

Republican State Senator Eric Koch, lead author on the bill, introduced the legislation as part of his ongoing efforts to improve connectivity in Indiana’s rural areas. According to a March article in the Indiana Economic Digest:

A couple of years ago, Koch was working on another issue with the Indiana Electric Cooperatives, and he saw maps of all the areas that are served by...

Today in the Maine Legislature, the Committee on Energy, Utilities and Technology voted unanimously to stop LD 1516, a bill that would restrict local telecommunications authority. After Tuesday's compelling testimony, when it was time for a Wednesday vote, LD 1516’s sponsor moved the bill be shelved.

Engaging Testimony

On Tuesday, May 2nd, the Committee of Senators and Representatives met to listen to testimony on the bill. We’ve provided audio of the public hearing.

South Portland, Islesboro, the Sanford Regional Economic Growth Council, and Rockport all sent experts with knowledge about developing public projects to testify in opposition to the bill. Representatives from GWI (the ISP working with several local communities that have invested in their own Internet infrastructure), the Maine Municipal Association, and the Mayors’ Coalition also testified against LD 1516.

Communities where publicly owned fiber is already improving local connectivity provided stories of how they tried unsuccessfully to work with incumbents. Page Classon from Islesboro described how incumbent proposals could be described as, “You pay for it, we own it, we charge you what we charge everyone else.” LD 1516 requires local referendums for such investments and Classon balked at taking such a proposal to the voters.

In South Portland, the city paid for construction of its open access fiber-optic network with general fund reserves. The language in LD 1516 restricts communities to funding through revenue bonds but South Portland uses its network to offer free Wi-Fi and to improve connectivity for municipal facilities. Under LD 1516, they would not have been able to make the investment.

Rick Bates from Rockport testified that the bill would force municipalities to contend with restrictions that legacy providers will never face and how those restrictions will not solve the problem of connecting rural Maine. Bates also took the opportunity to point out that organizations such as the Taxpayer Protection Alliance relies on misinformation and incorrect data, such as their erroneous assertion that Rockport has debt for its FTTH project.

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