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Montrose Asks Voters to Take Back Authority to Establish A Telecommunications Utility
Colorado communities continue to seek to restore local authority for telecommunications. In April's election, elected officials of Montrose will ask voters to approve a measure that gives the municipality the right to establish a telecommunications utility.
Centennial, a Denver suburb, approved a ballot initiative last fall to use city fiber resources as a way to provide indirect telecommunications services. Centennial's community leaders want to create the most business friendly environment as possible to spur economic development.
Montrose is taking a similar approach, although the language on this ballot does not limit the City to "indirect services." Elected officials have not mentioned the desire to provide any specific services yet, but the language of the ballot question suggests they do not want limited possibilities.
The City Council approved the following language for the April 1, 2014 ballot:
"Without increasing taxes, shall the citizens of the City of Montrose Colorado re-establish their City's right to provide all services restricted since 2005 by Title 29, article 27 of the Colorado Revised Statutes, described as "advanced services," "telecommunications services" and "cable television services," including any new and improved high bandwidth services based on future technologies, utilizing community owned infrastructure including but not limited to the existing fiber optic network, either directly or indirectly with public or private sector partners, to potential subscribers that may include telecommunications service providers, residential or commercial users within the City?"
A Montrose Daily Press covered the decision:
“We’ve been working on improving our broadband in the community for quite some time,” Virgil Turner, city director of innovation and citizen engagement, said. “The city has recognized that broadband is an area where we are not on equal footing with the Front Range.”
Westminster's Fiber Project Drawing Business from New York City to Maryland
Westminster's FTTP pilot project continues to blossom. We recently heard from Dr. Robert Wack, one of the local leaders of the project.
Engineering, the first phase, is almost completed with bids for construction soon to be solicited.
Even before any fiber is in the ground, Westminster is feeling the positive economic development effects from the network. According to Dr. Wack, Carlisle Etcetera, a women's fashion clothing company, will be relocating from New York City to Westminster. Carlisle will bring its distribution and data centers because it will have access to the next generation fiber network.
The local Industrial Development Authority is an official supporter of the project and will contribute local funds for capital costs.
How Ammon, Idaho, Builds Digital Roads - Community Broadband Bits Episode 86
Vidalia's Broadband Initiative Moves Forward as Free Wi-Fi Comes to Town
Vidalia's plans to offer free Wi-Fi are becoming reality. The Natchez Democrat recently reported that the City launched its free Wi-Fi in its new municipal complex.
Vidalia received a $30,000 grant from the Telecommunications Development Fund (TDF) Foundation to invest in a wireless network to cover the complex. Apparently, visitors to the complex were often surprised to learn that there was no Wi-Fi available. From the article:
[Mayor Hyram] Copeland said the project came about after multiple teams coming to participate in tournaments at the recreation complex asked about Wi-Fi access.
“I was embarrassed to say, ‘No,’ but now I can say we do,” Copeland said. “But the end result of all this is that we will have moved this community forward.”
The next step will be free Wi-Fi along the City's riverfront.
Even though federal American Recovery and Reinvestment Act (ARRA) funds to Louisiana were pulled back, Vidalia decided to press on with its broadband plans. The City has since cultivated several grant sources and is piecing together the funds needed to proceed with its estimated $9 million fiber network. Vidalia wants to develop a smart-grid and potentially provide fiber to every premise.
The community, with some of the highest unemployment rates in the country, sees the presence of better broadband as critical to economic survival. From the article:
“Broadband is such a routine infrastructure for companies nowadays that they almost assume you have it, and us not having it could have hurt us in the long run,” [Concordia Parish Economic Development Director Heather] Malone said. “Now, we’ll be able to use this as a tool to recruit new businesses and offer it to our existing businesses.”
Being a Gig City: Incubating Small Businesses
OnLight Aurora Partners with the City for Better Connectivity in Illinois
Nine years ago, Aurora officials decided it was time to reduce telecommunications costs and upgrade to a faster, more reliable network. The local government built a fiber network to service municipal government, but developed long-term ideas for the network to benefit the entire community.
Nonprofit OnLight Aurora now uses the City's fiber optic network to provide high-speed connectivity to educational institutions, businesses, healthcare facilities, social service entities, and major non-profits. The organization leases fibers from the City's fiber optic network and provides Internet access at affordable rates.
Aurora is the second most populous city in Illinois. The municipal government spans 52 buildings over 46 square miles. Before the city's fiber network, connections were a patchwork of varying speeds and capabilities. Employees in a building with a slow connection would need to travel to City Hall to access a high-speed connections to use the city's bandwidth intensive applications. The network was old, unreliable, and expensive. The Director of Onlight Aurora recently spoke with Drew Clark from Broadband Breakfast :
"In 2005-2006, we came to the conclusion that we were paying $500,000 a year [to telecommunications providers] for leased line expenses,” said Peter Lynch, Director and President of Onlight Aurora.
The 60-mile network, constructed from 2008 - 2011, cost approximately $7 million to deploy. At the beginning of the process, payback was estimated at 10 years. While the short-term goal was to cut municipal connectivity costs, community leaders intended to expand its use in other ways. The City now saves approximately $485,000 each year from having eliminated leased lines. From a Cisco case study on Aurora [PDF]:
Baltimore Mayor: You Can't Grow Jobs with Slow Internet
Ponca City Fiber: Serving Businesses, Schools, and Offering Free Wi-Fi
Its extensive free Wi-Fi has brought Ponca City into the limelight but the mesh network did not appear overnight. The community effort began with miles of fiber network that provide connectivity and enable the mesh network financially and technically.
Ponca City, home to 25,000, is located on Oklahoma's north central border; Tulsa, Oklahoma City, and Wichita are all more than 90 miles away. The petroleum industry flourished in Ponca City until the oil bust in the 1990s and the population began to decline as workers moved away. Community leaders sought ways to salvage the local economy through economic development. They began to focus on the technology, manufacturing, and service industries.
The municipal electric department, Ponca City Energy, installed the first five miles of fiber in 1997 and five more in 1999 to connect outlying municipal buildings to City Hall. Line crews from the utility and the City Technology Services Department handled all installation to keep expenses down. The City continued to add to the network incrementally, exapanding it to over 350 miles. The network also serves the City's SCADA system.
In 2003, Ponca City Energy connected the local schools, and the Ponca City Medical Center to the network. The network also began providing Internet to the University Learning Center of Northern Oklahoma, now named the University Center at Ponca City. The Center collaborates with thirteen higher education institutions to provide distance learning in 48 online degree programs.
Ponca City eventually began offering Internet access via the fiber to commercial customers. According to Craige Baird, Technology Services Director, most businesses in the community purchase Internet access from the City. Revenue from commercial Internet customers, approximately $36,000 per month, pays for the wireless mesh network.
Sun Prairie Ponders Fiber Network Investment in Wisconsin
The Sun Prairie City Council met on January 14th to discuss a possible investment in a municipal fiber network. Thank you to local resident Jonathan Kleinow for alerting us to developments in the south central Wisconsin town.
The Star published an article about the meeting in which The Motive Group presented information to the Committee of the Whole. According to the story, the consulting firm has been working with Sun Prairie Utilities for a year to find ways to improve local connectivity and spur economic development with fiber. The community is considering the possibilities of a triple-play FTTH network for the areas 30,000 residents.
Sun Prairie Utilities solicited responses to a community survey. They received 700 responses with 88% in favor of a fiber investment.
From the article:
The recommended plan put for[th] by The Motive Group has a total cost of near $27 million, with $21 million of that as year-one capital expenditures to serve roughly 13,550 homes and businesses in the city.
Budgeted in the initial year's expense total is $11 million for aerial and underground construction and equipment.
Once the fiber system is operational and available for customers, [The Motive Group's Beth] Ringley said projections show $9.97 million in annual operating revenue by year 20 of the system to go along with expenses of $1.26 million.
By year 20, total assets are projected to be at $27.16 million, with total cash at $12.56 million.
Councilman Jon Freund commented that he was opposed to the idea at first but that he now believes Sun Prairie Utilities and the City could partner to distinguish the community. From the article:
“Technology has become a greater and greater need for both businesses and residents,” Freund continued. “This is an opportunity for us to basically differentiate Sun Prairie from all the other communities in Dane County.”
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He added that fiber installation would “put Sun Prairie on the leading edge” for economic development and local and long-distance education opportunities.
High Speed in the Blue Grass State: Russellville's Gig
The Logan Journal recently reported that the Russellville Electric Plant Board (EPB) now offers gigabit service to local businesses. The article notes that Net Index, an online tool to measure download and upload speeds, recognizes EPB as the first Gig city in Kentucky. To learn more about the community and its network, we talked with Robert White, General Manager of EPB.
The community of 7,000 is the county seat of south central's Logan County. Russellville is located in the center of several other larger communities: Nashville, Bowling Green, Hopkinsville, and Clarksville, Tennessee. Manufacturing has been a large part of the local economy for generations, but community leaders recognize the vulnerability of a narrow economic base. In order to encourage a versatile economy, Russellville invested in its telecommunications utility.
The community wants to encourage small business while simultaneously providing manufacturers the connectivity they need. Leadership sees the ability to remain competitive directly tied to their network. In addition to the economic development opportunities a fiber network can provide, communities like Russellville rely on electricity revenue from large consumers. Retaining the large electric consumers that also provide jobs in the community is a must.
Russellville's electric utility created a strong advantage when it was time to venture into telecommunications. EPB had already established a strong relationship with its Russellville customers, says White, and locals felt they could trust their municipal electric provider.