Tag: "loan"

Posted October 10, 2017 by ChristopherBarich

On August 1, 2017, the Franklin County Infrastructure Bank awarded Grove City, Ohio a $2 million loan to support their construction of a municipal fiber optic network. 

The Grove City Plan

According to the city’s Request for Proposal (RFP), the city is focused on first establishing an institutional network (I-Net) and plan to expand it to serve local businesses over time. The initial fiber optic network will connect Grove City to the South-Western City Schools, the townships of Jackson, Prairie, Pleasant, and the Solid Waste Authority of Central Ohio (SWACO). The goal is to create a network with a baseline of ten gigabits symmetric service, ten times the speed of current connections provided by Spectrum (formerly Time Warner Cable).

According to Mayor Richard “Ike” Stage, the increase in network speed will attract businesses and will generate a 100 new jobs for the city. Josh Roth, Senior Program Coordinator for Economic Development and Planning, has said “that Grove City has committed to one hundred jobs over the next three years.”

During the August 1, 2017 general session, the Franklin County Board of Commissioners  passed the resolution to authorize the loan to the city of Grove City. 

Franklin County Commissioner Kevin L. Boyce celebrated the project:

“[T]he fiber optics really makes a difference because companies will look at whether to expand or move there [Grove City]. It could be a deciding factor. Those are jobs that are retained that you may not see."

For more information on the positive relationship between publicly owned Internet network infrastructure and reyaining or... Read more

Posted September 6, 2017 by htrostle

Get your applications ready! The United States Department of Agriculture  Rural Utilities Service (USDA RUS) is accepting applications for another round of loans for the Rural Broadband Access Loan and Loan Guarantee Program. This program provides loans of up to $20 million for rural connectivity. The window to apply opened September 1st, and the deadline is September 30, 2017.

Thousands To Millions Of Dollars For Rural Areas

The USDA RUS has at least $60 million available this funding cycle for this program. All loans will be between $100,000 and $20 million. The program will only consider funding projects that offer speeds of at least 25 Megabits per second (Mbps) download and 3 Mbps upload.

For this program, the USDA RUS focuses on completely rural communities where at least 15 percent of households do not have high-speed Internet access. To be eligible, these rural areas cannot have more than two incumbent providers or have previously received USDA RUS funding. 

Although the program is specific to rural communities, most organizations are eligible to apply, including tribal governments, local governments, cooperatives, and corporations. No partnerships and no individuals may apply for funding, however, as the loans must go only to organizations.

This is only one of the Broadband programs that the USDA RUS manages. The agency also handles the Community Connect Grants and the Distance Learning & Telemedicine Program. The report “Broadband Loan and Grant Programs in USDA’s Rural Utilities Service” from the Congressional Research Services describes these programs in more detail.

Online Submission Only

The USDA RUS officially began accepting submissions September 1st and organizations have until September 30, 2017, to apply. If you are working in an area with poor Internet service, it’s important to note that this program only accepts applications through an online system. 

Through the online system, RUS staff can review applications and answer questions as they are developed. Once an application is complete and submitted, the staff cannot provide feedback and the organizations cannot edit their applications. 

Learn more... Read more

Posted July 4, 2017 by htrostle

On the border of Tennessee and Kentucky, an electric cooperative looks to a more connected future. The Tri-County Electric Cooperative that operates across state lines is preparing to build a state-of-the-art network for high-speed Internet service throughout Trousdale County, Tennessee. This will be the first year of construction for the cooperative after several years of planning.

Tri-County Electric plans to soon begin services to Trousdale County, the smallest county in Tennessee. Many of the county's 8,000 residents' choice is limited to Comcast and AT&T, and Tri-County Electric's Vice-President and General Manager Paul Thompson noted that people in the county often only subscribe to about 6 Mbps download and 1 Mbps upload. With a steady membership base of 50,000 spread across two states and a close relationship with the county, the electric co-op is in a good position to move forward with the Fiber-to-the-Home (FTTH) project. The cooperative intends to offer an affordable base package that provides faster, more reliable connectivity than what the incumbents are willing to offer the rural communities.

Funding From The Feds

Since 2014, Tri-County Electric Cooperative has actively pursued financing for a FTTH network in the county. The co-op applied for a grant through the Rural Broadband Experiments program managed by the Federal Communications Commission. They did not receive any funding, but the process resulted in a tangible plan.

The process of applying for the grant built up community support for the project and enabled the co-op to identify key assets. As part of the grant application, they noted which census blocks they expected to connect and what community anchor institutions, such as schools, libraries, and government buildings, could be included. The Trousdale County government even passed a resolution giving explicit permission for Tri-County Electric to build and operate a FTTH network. 

Although Tri-County Electric Cooperative did not receive that grant, the co-op continued to pursue different avenues for funding. This year, the co-op received a... Read more

Posted April 19, 2017 by christopher

As we continue to cover the growing movement of rural electric cooperatives to bring high quality Internet networks to their members, we wanted to bring Alyssa Clemsen-Roberts back on the show. Alyssa was last on the show for episode 109 and has since moved from the Utilities Telecom Council to Pedernales Electric Co-op in Texas.

Though Pedernales is not considering a major broadband investment, Alyssa's insights from her years working with many electric utilities are valuable in understanding what electric co-ops have to consider before making a network investment. 

We start off by discussing the recent legislation in Tennessee that finally allows electric co-ops to offer Internet access before we move on to the real considerations a general manager has to examine before getting into telecom. We also talk quite a bit about the interplay between rural electric co-ops and telecommunications companies.

Read the transcript of the show.

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

This show is 32 minutes long and can be played on this page or via iTunes or the tool of your choice using this feed.

You can download this mp3 file directly from here. Listen to other episodes here or view all episodes in our index.

Thanks to Break the Bans for the music. The song is Escape and is licensed under a Creative Commons Attribution (3.0) license.

Posted April 11, 2017 by christopher

Located in southeast Pennsylvania, Lancaster will soon have some of the fastest Internet access in the entire state due to its partnership with a local telecommunications firm, MAW Communications. We reported on many details about this approach here, but Community Broadband Bits podcast episode 248 offers an in-depth look.

Lancaster Business Administrator Patrick Hopkins and MAW Communications Operations Director Brian Kelly joined me to talk about the history of their partnership and the next big step: a citywide gigabit fiber-optic network. 

We also talk about the risks to the public sector from trusting a private company with essential infrastructure and the potential challenges for a private sector company to work with a local government. Both sides are going into this arrangement with their eyes wide open and offer tips for what others should consider before they try to replicate the model. 

If you missed it, last year we released a major paper about considerations in public-private partnerships. We did not discuss LanCity Connect, but many of themes apply.

Read the transcript of the show here.

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

This show is 29 minutes long and can be played on this page or via iTunes or via the tool of your choice using this feed.

You can download this mp3 file directly from here. Listen to other episodes here or view all episodes in our index.

Thanks to Break the Bans for the music. The song is Escape and is licensed under a Creative Commons Attribution (3.0) license.

Posted March 29, 2017 by lgonzalez

West Virginia rural communities struggle with access to broadband but a bill in the state legislature is taking some first steps to encourage better connectivity. HB 3093 passed the House with wide support (97 - 2) and has been sent on to the Senate for review. The bill doesn’t appropriate any funding for Internet infrastructure projects around the state, but adopts some policies that may help local communities obtain better connectivity.

Revenue Neutral And Popular

The state is facing a $500 million budget deficit and lawmakers don't have the appetite to appropriate finds for Internet infrastructure projects. As in most states, policy bills do well during times of financial strife. Elected officials still want to do what they can to encourage better broadband so, according to at least one lawmaker, the revenue neutral nature of the bill has contributed to its success in the legislature. Delegate Roger Henshaw, one of the bill's co-sponsors, told Metro News:

“Notice this is a revenue-neutral bill,” Hanshaw said. “That’s in fact one of the reasons we’re rolling it out now. We have other bills here in both the House and Senate that are not revenue-neutral bills that were on the table for consideration.

“But with the clock ticking on us, it became clear that we probably ought to be looking at options to advance service that didn’t even have the possibility of a financial impact. This bill does not.”

Check out the 3-minute interview with Hanshaw on Soundcloud.

The Broadband Enhancement Council

West Virginia’s Broadband Enhancement Council was created in a previous session and receives more authority and responsibility under HB 3093. They are tasked with the authority to, among other things, gather comparative data between actual and advertised speeds around the state, to advise and provide consultation services to project sponsors, and make the public know about facilities that offer community broadband access. 

HB 3093 briefly addresses the creation of the “Broadband Enhancement Fund," and addresses how the funds should be spent. For now, the fund remains dry... Read more

Posted March 28, 2017 by htrostle

Pennsylvania’s state barriers won’t stop this community from improving Internet service for its municipal facilities, residents, and businesses. The City of Lancaster is collaborating with private provider MAW Communications to ensure the community has next-generation technology. Their public-private partnership, LanCity Connect, will offer affordable 1 gigabit (1,000 Megabits per second) service over a new Fiber-to-the-Home (FTTH) network.

Shared Risk, Public Financing

The Lancaster Online has closely followed the development of the partnership from a 2015 Wi-Fi project between the partners to the current citywide fiber plan. Here's a quick summary of the basic framework of the partnership: 

MAW Communications originally built a $1.7 million fiber backbone starting in 2015 with financing from the city's water fund bond. The city had refinanced its water utility debt, saving some $7.8 million and they worked out an agreement with MAW where the private partner would deploy and own a backbone fiber network. Over the 20 year term of the deal, the city has the right to half the network for city services, including automatic meter reading (AMR) and a traffic control system, with the city being able to renew the deal for four additional terms. Officials have said this arrangement will not impact water rates.

MAW Communications will extend the network to premises, aided by a $1.5 million loan with a 7 percent interest rate from the city's general fund reserves. The provider will repay the loan over a 13 year period. As long as MAW Communications has an outstanding loan to the city, the provider cannot sell the network without the city's written approval. Though the loan will help MAW to begin building the network, the costs of connecting homes and businesses would still be prohibitive at $1,000 each if not for another element of the plan.

The city developed a creative way to spread that $1,000... Read more

Posted February 14, 2017 by christopher

The most rural area of Missouri is getting a Fiber-to-the-Home network from the United Electric Cooperative, which has created United Fiber and is expanding across its footprint and to adjacent areas that want better Internet access. Chief Development Officer Darren Farnan joins us to explain why his co-op has taken these steps.

We discuss how they are rolling it out - focusing on areas that need the service while respecting the telephone cooperatives that are within their electric footprint. The project has benefited from a broadband stimulus award and also incorporates fixed wireless technology in some areas.

We discuss some of the economics behind the project and are sure to clarify that though the utility has needed some capital subisides to build the network, it does not need any operating subsidies to continue - it runs under its own revenue. And we talk about the demand for better, faster connections - it is much higher than most realize.

Read the transcript of the show here.

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

This show is 30 minutes long and can be played on this page or via iTunes or via the tool of your choice using this feed.

You can download this mp3 file directly from here. Listen to other episodes here or view all episodes in our index.

Thanks to Admiral Bob for the music. The song is Turbo Tornado (c) copyright 2016 Licensed under a Creative Commons Attribution (3.0) license. Ft: Blue Wave Theory.

Posted December 22, 2016 by htrostle

About 15 years ago, two small cities in western Oregon faced an all too common predicament for rural areas. The Internet Service Provider (ISP) told they would not see high-speed Internet access until 2020. Taking matters into their own hands, the cities of Independence and Monmouth decided to collaborate on a project to bring the latest technology to their communities. 

Together they built a jointly owned Fiber-to-the-Home (FTTH) network, known as MINET (Monmouth Independence Network). Today, the network supports economic development and agricultural innovations. This piece focuses on only one of the cities, Independence, in order to provide an in-depth look at the community impact of the network.

Affordable & Reliable Internet Service

At the time, FTTH was almost unheard of. Even today, the technology is available to only a quarter of the entire U.S. population. MINET offers affordable, reliable connectivity for the 18,000 residents of both communities. The network has a low-cost option available to everyone of 2 Megabits per second (Mbps) for $10 per month. Other Internet access speeds available are:

Download speed / upload speed
50 Mbps / 25 Mbps for $50
75 Mbps / 40 Mbps for $65
100 Mbps/ 50 Mbps for $80

Residents can also subscribe to triple-play bundles of Internet, voice, and video services.

Took Time to Develop

MINET has faced a difficult financial situation even though the network has brought many benefits and opportunities to the community. 

The League of Oregon cities provided a quick case study of the network in 2011. In the late 1990’s, the two cities developed a feasibility study only looking to connect the governmental buildings and the businesses. After studying the potential for offering services to residents, the cities decided to divide the project into two phases. Phase I: build fiber loops. Phase II: build the last-mile to homes and business and offer retail services. 

By 2004, they had officially formed MINET as an ORS 190 entity (an official Oregon intergovernmental agreement). They also completed Phase I at... Read more

Posted November 23, 2016 by Anonymous

This is episode 225 of the Community Broadband Bits. Representatives of Midwest Energy Cooperative discuss their project to bring high-speed connectivity to rural southwest Michigan. Listen to this episode here.

Dave Allen: I really see this as a re-lighting of rural America.

Lisa Gonzalez: This is episode 225 of the Community Broadband Bits podcast, from the Institute for Local Self-Reliance. I'm Lisa Gonzalez. There's a project taking shape in rural southwest Michigan and the nearby regions of Indiana and Ohio. It's headed up by the Midwest Energy Cooperative. At the recent Broadband Communities Economic Development Conference in Minneapolis, Chris ran into Bob Hance, President and CEO of the cooperative, and Dave Allen, the cooperative's Vice President of Regulatory Compliance. Naturally, we wanted to hear more about their project and share the details with you. They provide some history and how access to high quality connectivity has positively impacted a number of their rural members. Chris, Bob, and Dave also have some interesting thoughts on federal funding programs, project standards, and the different rules for cooperatives and big corporate providers. Learn more about the project at teamfiber.com, where you can also discover more about the cooperative. Now you may notice some background noise. We apologize in advance. While we advocate for local choice and access to technology, sometimes technology is just not on our side. We had a little trouble with the mic that day. Also, Chris is suffering from allergies, and until winter sets in, he may sound a little like the late Howard Cosell, but never fear, it is our Christopher. Now, here with Chris are Bob Hance, President and CEO, and Dave Allen, Vice President of Regulatory Compliance for Midwest Energy Cooperative.

Christopher Mitchell: Welcome to another edition of the Community Broadband Bits podcast. I'm Chris Mitchell. Today, I'm speaking with two folks from Michigan. Bob Hance, the President and CEO of Midwest Energy Cooperative. Welcome to the show.

Bob Hance: Thank you.

Christopher Mitchell: And Dave Allen, the Vice President of Regulatory Compliance for the Cooperative. Welcome to the show.

Dave... Read more

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