I-Net

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Transcript: Community Broadband Bits Episode 265

This is the transcript of episode 265 of the Community Broadband Bits podcast. In this episode, Lori Sandoval the telecom and regulatory administrator of Pasadena, California, joins the show to discuss the city's fiber network and business climate. Listen to this episode here.

 

Lori Sandoval: We saw an opportunity, and it was sort of the first hints of bringing in competitive carriers and trying to get more competition locally. We started thinking about how Pasadena could implement a fiber network here.

Lisa Gonzalez: This is episode 265 of the Community Broadband Bits podcast, from the Institute for Local Self-Reliance. I'm Lisa Gonzalez. Lori Sandoval from Pasadena California talks with Christopher in this episode about the community's fiber-optic network. In addition to serving the municipality's needs, the network offers dark fiber connectivity, and is branching into other services for local businesses and entities. In this conversation, Lori explains how Pasadena got started in fiber-optics, how they funded the investment, and where they're headed next. As a reminder, this great conversation with Lori is commercial-free, but our work at ILSR does require funding. Please take a moment to contribute at ilsr.org. If you've already contributed, thanks. Now, here's Christopher with Lori Sandoval from Pasadena, California.

Christopher Mitchell: Welcome to another edition of the Community Broadband Bits podcast. I'm Chris Mitchell with the Institute for Local Self-Reliance, and today I'm speaking with Lori Sandoval, the telecom and regulatory administrator for the City of Pasadena. Welcome to the show.

Lori Sandoval: Oh, thank you. I'm glad to be here.

Christopher Mitchell: For people who only know of Pasadena in terms of beautiful weather, and thinking about the lovely beaches and whatnot of Southern California, how would you describe it?

Pasadena Benefits From Municipal Fiber - Community Broadband Bits Podcast 265

It shouldn't be surprising that the city that is home to CalTech and NASA's Jet Propulsion Laboratory needs high-quality connectivity. Those institutions are part of the reason Pasadena began investing in its own fiber network.

To learn the other reasons and how they went about it, Pasadena's Telecom & Regulatory Administrator Lori Sandoval joins us on Community Broadband Bits podcast 265. 

The original business plan focused on connecting community anchor institutions and leasing dark fiber to private sector providers. They wanted to facilitate more private sector investment and competition in addition to meeting the internal needs of the city and the municipal electric utility.

This show is 21 minutes long and can be played on this page or via Apple Podcasts or the tool of your choice using this feed

Transcript below. 

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

Listen to other episodes here or view all episodes in our index. See other podcasts from the Institute for Local Self-Reliance here.

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

"Muni Fiber Models" Fact Sheet

When local communities look for ways to improve connectivity, they may consider investing in a municipal fiber optic network. As they begin to review possible options, local officials, their staff, and community groups will realize that there are a number of potential models. We’ve put together the Muni Fiber Models fact sheet that takes a brief look at those models and provides some examples.

From “Retail” to “Tubes In The Ground”

Chattanooga is the most well known municipal Fiber-to-the-Home (FTTH) network and is offered by the community’s Electric Power Board (EPB). EPB’s service offers telephone, Internet access, and video service directly to subscribers. The fact sheet provides more examples of communities that have decided that full retail service is right for them. On the other end of the spectrum, places like Lincoln, Nebraska, provide only the infrastructure and lease it to private sector providers who then offer retail services to businesses and residents. The other approaches we find most commonly used include open accessI-Nets, and Partnerships between local government and the private sector.

We’ve included short explanations for each model and provide some examples for a starting point. We encourage you to share the fact sheet with others who are interested in learning about different paths to better connectivity through publicly owned networks.

Download the Muni Fiber Models fact sheet here.

Review our other fact sheets and check back periodically for new additions. Fact sheets are a great way to quickly and easily share information and cultivate interest in learning more.

 

Louisville's Opportunity: I-Net Savings Now And Later

In order to save public dollars, improve municipal connectivity, and enhance the city’s ability to take advantage of various “Smart City” technologies, Louisville is planning to grow its existing fiber infrastructure. Their plan will take advantage of aspects of the KentuckyWired project to reduce costs. An increasing number of local governments have taken a similar common sense approach and deployed fiber optic Institutional Networks (I-Nets). In addition to cutting telecommunications costs, the infrastructure gives communities the freedom to predict future expenditures and find innovative ways to use publicly owned fiber.

Grow What You Have, Smartly

Louisville already owns a little more than 21 miles of fiber within the downtown business district. Under the Mayor’s proposed budget, $5.4 million would be allocated to add another 97 miles to the network. The estimated cost of the project deployment is low for an urban project because there are locations along the proposed route that overlap with the KentuckyWired project. In those areas, the company that is working with the state, Macquarie Capital, will install the fiber optic cables for Louisville alongside the KentuckyWired infrastructure. Macquarie will deploy both underground and on utility poles. This arrangement greatly reduces the cost for Louisville because they only pay for the materials.

According to the city’s chief of civic innovation, without the contribution of KentuckyWired, the project would have cost more than $15 million.

The network is only meant to serve community anchor institutions, along with municipal and Jefferson County facilities; there are no plans to connect homes or businesses. Louisville could lease excess capacity to Internet Service Providers (ISPs) in the future, which would generate revenue for the community.

Winter Park, Florida, Considers I-Net

Winter Park is considering creating an institutional network (I-Net) to provide gigabit connectivity to municipal facilities. Community leaders are examining the pros and cons of deploying a fiber backbone to 17 city-owned buildings that could save significant dollars and be used for other applications in the future. Some of the uses they've discussed include connecting traffic signals and street lights to address traffic congestion, a common complaint in Winter Park.

“When you talked about ... fiber 10 years ago, it was hard for people to see the future; now the future is here, and we’ve got to do it,” said Winter Park’s Information Technology director Parsram Rajaram, who is working with the task force. “Fiber is essential in my view.”

Not A New Idea

The Orlando suburb, home to 30,000 people, has been considering creating a network for years and last summer released the results of a broadband feasibility study to the City Commission.

“This is something that has been discussed at the city and the City Commission for a decade. If you’re like me, you hear from people multiple times about a dissatisfaction with the (Internet) service that they are offered, a fairly singular service… We’ve been talking about it long enough, and if we started this a decade ago, we would probably already have a backbone for the city that could be utilized,” said Winter Park Mayor Steve Leary

In March, Leary created a Fiber Optic Task Force, charged with making and presenting recommendations to the City Council. The Task Force is leaning toward suggesting the community invest in an I-Net rather than a larger project to serve businesses or residents at this time. An I-Net is estimated to take two years and cost $4 million. In contrast, connecting municipal facilities, businesses, and residents would cost up to $28 million.

Serving The City Saves Public Dollars

Stafford County, VA, Releases RFEI; Responses Due April 25th

Stafford County, Virginia, has issued a Request for Expression of Interest (RFEI) as they search for potential partners interested in working with them to improve local connectivity. Responses are due April 25.

In addition to searching for ideas to bring high-quality Internet access to unserved and underserved households in the county, the community wants to connect 26 of its own facilities to an existing publicly owned I-Net. The I-Net currently serves county and school buildings but the unconnected facilities are served by separate cable connections.

The county's RFEI states that they are interested specifically in bringing speeds to the county that meet or exceed the FCC definition of broadband, which is 25 Megabits per second (Mbps) download and 3 Mbps upload.

Stafford County

The county has grown considerably in recent years and local leaders want to support economic development with fast, affordable, reliable connectivity in both rural and urban areas of Stafford County’s 277 square miles. Located in the northeast part of the state between the Washington DC area and Richmond, many residents work in the beltway. Unemployment is only four percent in the county where the population is approximately 135,000. During the past ten years, more jobs have popped up in Stafford County, a trend community leaders hope to continue.

Several federal employers have facilities in Stafford County, including the FBI, the Marine Corps Base Quantico, and the DEA. Some of the other employers are Geico Insurance, Intuit, and Northrup Grumman. The high tech industry is growing in the area, especially the number of new entrepreneurial businesses.

Stafford County is open to ideas and encourages respondents to consider all types of technologies including Fiber-to-the-Home (FTTH), fixed wireless, satellite, or a combination of different types of technologies.

Important dates:

Deadline for Questions: April 13, 2017

Responses Due by 3:00 p.m.: April 25, 2017

Review of responses completed by County: May 19, 2017

Read the RFEI at the city's website.

Laurinburg, NC, Looking At Connectivity Options

Laurinburg, North Carolina, is considering opening its fiber-optic network to private providers.

It’s been over a year since the community contracted with a consultant to inventory the community’s assets and provide options for expanding its use to the private sector. Since then, community leaders have discussed looking for potential partners and have met with private providers. According to the Laurinburg Exchange, the city will likely release a Request for Proposals (RFQ) as a way to let providers know they are interested in investigating ways to make excess capacity available.

Community leaders believe providers could make use of the publicly owned fiber for fixed wireless service, lease fiber for business Internet access and telephone services, web hosting, and other services. City Manager Charles Nichols said:

“The city has the capability to offer all those services now; we know this is an asset to this community and we’re trying our best to figure out a way to utilize it.”

Laurinburg already connects ten entities with its network, including County facilities, schools, healthcare clinics and hospitals, the airport, and several local businesses. Community leaders want to spur economic development by offering high-quality connectivity in Laurinburg to more businesses.

Tapping An Existing Resource

The city deployed its fiber-optic network in the mid-1990s to improve communications between city hall and its public works facilities. It later leased excess capacity to other public entities, including several facilities that obtained Internet access and data transmission through School Link. As the city has expanded network footprint, it now consists of a 100-mile ring that surrounds the county.

Laurinburg prevailed in a lawsuit commenced by BellSouth in the early 2000s when the provider argued the city had no authority to operate the system. When the trial and appellate courts examined the prevailing statute and the technology in place, however, both found for the city. Since then, state law has changed but Laurinburg’s right to operate its system is grandfathered in; they are still, however, subject to the state prohibition on expansion

Ellensburg's Next Step: Pilot For Local Biz

Ellensburg’s fiber-optic Institutional Network (I-Net) already saves public dollars. Soon the town will also create opportunities for local businesses to obtain better connectivity via the publicly owned infrastructure through a new pilot program.

Time To Go Public

Three years ago, Ellensburg, Washington, chose to sever ties with Charter Communications when the national Internet Service Provider (ISP) decided it would charge $10,300 per month for municipal connectivity it had previously supplied in exchange for access to the public rights-of-way.

The community already owned and operated municipal electric and natural gas utilities, so a foray into managing an I-Net was a sensible task. After considering the math, they quickly realized deployment would pay for itself in about eight years when compared to the exorbitant rates from Charter. They also didn't know if Charter would raise rates again in the future or if there may be other issues with control of a network they depended on for municipal communications.

Onward And Upward

Ellensburg has been independent of Charter since 2014 and now they are taking the next logical step - offering services to local businesses. There is excess capacity on the existing fiber network that Energy Services would like to lease out in order to generate revenue and learn more about providing services to the public.

At a recent City Council meeting, Energy Services Director Larry Dunbar discussed the proposed pilot project. “A pilot project is the right thing to do if council wants to proceed because we really just don’t know,” Dunbar said. “We haven’t done this before.”

The city will receive a 2017 Distressed County Sales and Use Tax Infrastructure Improvement Program grant. The funds, focused on rural areas, are to be used for improving infrastructure projects; Ellensburg will receive approximately $169,000. Thirty-four connections to local businesses will cost $37,800 and will produce an estimated $16,300 in annual revenue.

In addition to using the grant funds to expand the fiber-optic network, Ellensburg plans to establish a fixed wireless network.

Manchester, CT, Releases RFI For FTTP: Responses Due Dec. 6th

Manchester, Connecticut, was the first city in the state to build its own fiber-optic Institutional Network (I-Net). Now, the community has issued a Request for Information (RFI) for Fiber-to-the-Premises (FTTP) of Homes and Businesses. Responses are due by December 6, 2016.

Much To "Gain"

The community took advantage of the “Municipal Gain” Law, which guarantees space on utility poles and conduit to house its I-Net. A private provider took the town to court over the law, which came to a successful resolution in the early 2000s.

As we reported last summer, the Office of Consumer Counsel (OCC) and the State Broadband Office (SBO) sought clarification on the state statute. The question is whether or not the space reserved on utility poles in municipal Rights-of-Way (ROW) can be used for municipal fiber-optic network deployment. While the question seems simple on its face, implementing it has raised a number of questions from pole owners and municipalities. The OCC and SBO filed a petition last summer with the Public Utility Regulatory Agency (PURA) asking for clarification.

Manchester is located in the center of the state just ten miles east of Hartford. The town’s population is approximately 58,000 residents and there are 22,000 parcels in Manchester on its 250 miles of city streets. While it has roots in textiles and the silk industry, it is now home to a number of large shopping outlets and plazas. The community also has a co-working space in the downtown area, Axis901, for entrepreneurs and small businesses.  

Having experienced the benefits of its I-Net, Manchester wants to expand those benefits to businesses and residents, so is exploring the possibilities. According to the RFI:

The Town is interested in a vendor’s perspective of the positive economic development value of their proposal.  Toward this end, information on a Responder's offering will likely result in a dialog with the Town's Board of Director's Broadband Economic Development Subcommittee.

Short Policy Report on Munis and Education From ECS

Digital learning initiatives for K-12 grades and online coursework for college programs both require high-speed connectivity in school and at home. Policymakers cannot overlook this issue when discussing municipal networks.

The Education Commission of the States addressed connectivity in the classroom and at home in a short policy report, entitled Inhibiting Connection: State policy impacting expansion of municipal broadband networks in September 2016. 

Inside the Report

Co-authors Lauren Sisneros and Brian Sponsler provide an overview of how municipal network issues intersect with state education goals. The paper covers the major arguments for and against municipal networks as well as current state laws restricting those networks:

"As state education policymakers explore options to support postsecondary access and success, they may be well served to consider their states’ policy addressing municipal broadband networks."

They also highlight our Community Networks Initiative as a resource for policymakers to access fact sheets, case studies, and videos. 

Read the entire policy report on the Education Commission of the States' website

For more information on connectivity in schools in general, check out our Institutional Networks page.