economic development

Content tagged with "economic development"

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Idaho Town Builds Incremental, Open Access Network

A small Idaho town near Idaho Falls in the eastern part of the state, Ammon, is creating a new approach for a small open access fiber-optic network. When the vision is fully realized, all businesses and residents will have affordable, fast, and reliable access to the Internet and other telecommunications services via a multitude of independent service providers. The town has adopted a new ordinance spelling out its vision and began building the backbone of the network. The purpose is well written and could serve as a model for others, excerpted here:
To protect the public right-of-way by improving both the management and regulation of competing demands through the elimination of duplicate fiber optic facilities within the public right-of-way. … To reduce the cost of maintaining the sidewalk, pavement and public facilities located within the public right-of-way by minimizing the number of pavement cuts and dislocation of other public facilities necessitated by the construction or installation of fiber optic facilities. To foster competition among retail broadband service providers by providing open Access to the City Fiber Optic System.
Ammon had previously applied for broadband stimulus funds but was not awarded a grant or loan. Undaunted, they continued to examine how they can build the network their community needs to attract economic development and maintain a high qualify of life. An article in the Boise Weekly profiled the network and the man behind it:
Bruce Patterson is the one-man IT department for Ammon, a small town of 13,000 near Idaho Falls. He is fed up with companies overlooking the town when they discover the cost of Internet is prohibitive. … "The City of Ammon wants to be the road, not the traffic," Patterson said. "Nondiscrimination is what we believe is the right thing. We wanna be completely open to every consumer and provider."
As we see time and time again, this community has Internet access from at least one provider, but it does not meet the needs of the community.

Stephens County Considers Broadband Feasibility Study in NE Georgia

Counties in northeast Georgia are among the latest to examine their options to improve access to the Internet in local communities due to the massive failure of the private sector to adequately invest in essential infrastructure needed for economic development and maintaining a high quality of life. Those involved may include Stephens County, Hart County, Franklin County, Rabun County, and Habersham County. However, Franklin County refused to contribute to a feasibility study, with some arguing that the "utility owners" should do it - though it is not clear which "utility owners" are referenced here. Others found this troubling:
“I think some of the other commissioners maybe feel like it’s more of a private matter, that some of the commercial businesses should be putting in infrastructure,” he said. “However, someone like Windstream, if they have a potential customer for a data center, they’re going to steer that customer to where they have infrastructure. They don’t care about Franklin County.” It’s important to understand, he added, that high-quality jobs will not come to Franklin County if it is not up-to-date with its infrastructure.
This is exactly correct -- what does a private sector provider care about a single county in Georgia? They care about a fast return on their investment, not about a community's vitality. In the meantime, Stephen's County has contributed $500 toward a match for the study. Minutes from the Feb 28 meeting of Stephens County Development Authority [pdf] offer more details of the study:
OneGeorgia’s Nancy Cobb has approached the Joint Development Authority of Franklin, Hart & Stephens Counties and “offered” to fund 80% of a Broadband Connectivity Feasibility Study (expected to cost about $240,000) in northeast Georgia. Her offer is contingent upon us actually officially requesting it and matching it with 20%. We anticipate her next meeting to be sometime in May/June.

Rural Massachusetts Open Access Fiber-Optic Network Builds Momentum

We are hearing exciting news from western Massachusetts -- at least 17 towns have already held the necessary meetings and votes to join the Wired West cooperative that will build an open access, universal, FTTH broadband network in each of the member towns. This is an exciting project in a region largely left behind by cable and phone companies. Back in January, we described the steps necessary to form a "Municipal Light Plant," in each community but a recent update from Wired West reminds us about the specifics:
Town participation in the WiredWest municipal telecommunications cooperative requires passing two consecutive town votes at separate meetings to establish Municipal Light Plant (MLP) legislation in the town. The MLP legislation was created in the Commonwealth over 100 years ago to enable towns to generate their own electricity. In 1996, the ability for towns to offer telecommunications services was added to the MLP statute. WiredWest charter towns researched various governance options and determined this was the best choice for enabling towns to offer telecommunications services, work together cooperatively and issue municipal debt to capitalize the network.
Towns have been passing the 2/3 votes with overwhelming approval, as in the town of Florida, with a 30-1 vote. Wired West is maintaining an impressive map of the status of each town along the path. Clicking on a town brings up more information about that town. Kudos to them for making a great map that is easy to use and conveys a lot of information. The Berkshire Eagle recently published an op-ed discussing the importance of economic development in the area:
Because many Berkshirites work, either at home or in an office, in towns without high-speed Internet service, making such connections widely available is vital to economic development in the county.

Santa Monica's City Net Recognized by Ash Center at Harvard Kennedy School

We have frequently encouraged communities to learn more about Santa Monica's approach to incrementally building a publicly owned fiber-optic broadband network, which has just received another award. The Ash Center at Harvard's Kennedy School selected Santa Monica as one of their top 25 Innovations in Government.
The program was selected for this award in the economic development category for the network's effectiveness in attracting technology companies to the city and supporting existing Santa Monica businesses with a leading edge broadband infrastructure, city officials said. Santa Monica City Net's model is being replicated by the cities of Burbank and Long Beach, and is in review by Chicago and Calgary.
As we explained in Breaking the Broadband Monopoly, Santa Monica started with an I-Net on which they could not run commercial traffic and slowly built their own network that had no conditions on how it was used. In the past, this network has received the "Significant Achievement Award" from the Public Technology Institute (PTI). This press release recaps some details from their network:
The City created a telecommunications master plan and built a fiber optic network that connected 59 buildings used by the City, Santa Monica-Malibu Unified School District, and Santa Monica College. Savings realized by this project enabled the City to construct its own municipal fiber optic network, Santa Monica City Net, to support traffic cameras, security cameras, real-time parking advisory systems, a traffic signal synchronization system, and real-time mass transit signs. The City also leases dark fiber and lit services to local businesses for affordable broadband. The results of Santa Monica's advanced broadband initiative are a reduction in construction costs of new broadband service, an increase in purchasing power of connected local businesses, and a broadband market expansion for global Internet Service Providers that now offer service to small, medium and large commercial buildings.

Tennessee Bill to Encourage Economic Development Killed by Telco Lobbyists

As we continue to report on depressing campaigns to deny people fast, affordable, and reliable access to the Internet (as Time Warner Cable is doing in North Carolina), we are also making an attempt to highlight good legislation (as we recently did in Washington state). In that spirit, we turn to HB 2076 / SB 1847 in Tennessee From the bill summary:
This bill urges all municipalities to endeavor to utilize advanced broadband systems in their operations and to encourage the construction of advanced broadband systems.
The full bill is available here [pdf] but the most interesting part is what was not included. As reported by Andy Sher of the Times Free Press, the bill was intended to go much further.
The bill would have let the municipal utilities extend service up to 30 miles outside their service areas.
Unfortunately, the powerful incumbent lobbying machine (including AT&T, Comcast, and others who already hate having to compete with technologically superior networks in several Tennessee communities) killed the bill, a blow to the future of economic development in the state. Neighbors of Chattanooga, including Bradley County, desperately want access to the impressive 1Gbps network Chattanooga built -- the most advanced citywide network in the country. epbfiber.jpg Harold DePriest recognized the power of AT&T and Comcast in the Legislature, but vowed not to give up.
“Well, we would like to see the bill pass, but I think Gerald was dealing with the reality of the difficulty of moving the bill through the committee at this point in time,” he said Friday. “We will be back.

Broadband Properties Summit - Economic Development Program Streaming on Thursday

I'm heading down to Dallas tomorrow for the annual Broadband Properties Summit. I'll be focusing on the rural program on Wednesday and then Jim Baller's Economic Development program on Thursday -- if you cannot make it, you can stream the economic development sessions. I'll be presenting on the final panel, reviewing the day's discussion and offering ideas for next steps.

Public Testimony in Senate Finance Committee Against Time Warner Cable bill in North Carolina

We have again isolated individual comments from the arguments around Time Warner Cable's bill to strip local authorities of the right to build broadband networks vastly superior to their services. On April 13, the Senate Finance Committee allowed public comment on TWC's H129 bill. Craig Settles has posted an extended story about a small business struggling to get by with the existing paucity of service in her community.

There was no hope that I could efficiently communicate, collaborate, and share online documents and applications with clients and peer professionals. I couldn’t even buy a functional phone line. For years I paid for a level of service from Centurylink that I can only describe as absolutely embarrassing.

This bill will make it vastly harder, if not impossible, for communities to build the necessary infrastructure to succeed in the digital economy. Listening to those pushing the bill, it is very clear they have no conception of the vast difference between barely broadband DSL from CenturyLink and Wilson's Greenlight community fiber network -- essentially the difference between a hang glider and a Boeing 747. And many in North Carolina don't even have access to the hang glider! Yet the Legislature cares more about protecting the monopoly of powerful companies that contribute to their campaigns than ensuring all residents and businesses have access to the fast, affordable, and reliable broadband they need to flourish.

Thanks to Voter Radio for making audio from the hearing available.  Each of the following comments is approximately 2 minutes long.

Chattanooga EPBFi Network Leads to More Jobs

Chattanooga's impressive publicly owned FTTH network can take credit for yet more jobs being created in the community, following an announcement last month from HomeServe, a call center that wants to keep jobs in the United States.
"When a HomeServe customer is in need of assistance, we want them to have the convenience and reassurance of being assisted by a representative based here in the United States," Jonathan King, chief executive for HomeServe, said in a statement. "We decided on Chattanooga because of the availability of high-quality employees combined with the robust telecommunications and data infrastructure available in the area."

Digging into H129: Another Bill in NC to Limit Local Authority and Broadband Competition

As we predicted, Time Warner Cable is pushing a new bill in North Carolina to limit competition and local authority to build broadband networks (Save NC Broadband is alive again). H129 purports to be An Act to Protect Jobs and Investment By Regulating Local Government Competition with Private Business - [download a PDF of the bill as introduced]. This bill is another example of state legislators refusing to allow communities to make their own decisions -- imposing a one-size-fits-all policy on communities ranging from the metro area of Charlotte to small communities on the coast and in the mountains. Many of the provisions in this bill apply tough constraints on the public sector that are not applied to incumbent providers, but this analysis focuses only on a few. Let's start with the title:
An Act to Protect Jobs and Investment by Regulating Local Government Competition with Private Business
There is no support anywhere in this bill to explain what the impact of community networks is on jobs. Nothing whatsoever. There is a claim that "the communications industry is an industry of economic growth and job creation," but ignores the modern reality that that the communications industry goes far beyond the private sector. In fact, the recent history of massive telecommunications providers is one of consolidation and layoffs. It is the small community owned networks that create jobs; larger firms are more likely to offshore or simply cut jobs. Certainly all businesses depend on communications to succeed. Unfortunately, they are often limited to very few choices because the of the problem of natural monopoly.

Herald Tribune Series on County and Community Networks

A few weeks ago, the Herald Tribune ran a number of articles about broadband by Michael Pollick and Doug Sword that discussed some community fiber networks and efforts by Counties in Florida to build their own fiber-optic networks. The first, "Martin County opting to put lines place," covers the familiar story of a local government that decides to stop getting fleeced by an incumbent (in this case, Comcast) and instead build their own network to ensure higher capacity at lower prices and often much greater reliability. Martin County, FL
"We decided for the kind of money these people are asking us, we would be better off doing this on our own," said Kevin Kryzda, the county's chief information officer. "That is different from anybody else. And then we said we would like to do a loose association to provide broadband to the community while we are spending the money to build this network anyway. That was unique, too." The new project will use a contractor to build a fiber network throughout the county and a tiny rural phone company willing to foot part of the bill in return for permission to use the network to grab customers of broadband service. The combined public-private network would not only connect the sheriff's office, county administration, schools and hospitals, but also would use existing rights of ways along major highways to run through Martin's commercial corridors.
Michael Pollick correctly notes that Florida is one of the 18 states that preempt local authority to build broadband maps. However, they incorrectly believe that Martin County is unique in its approach.