Central Missouri’s Callaway Electric Cooperative began offering high-quality Internet access in 2016 by collaborating with a local telephone cooperative. Since then, it’s subsidiary, Callabyte Technology, has continued to expand its services to members in local rural communities in its service area. Recently, the people of the small community of Holts Summit learned that the project is headed their way.

Anticipating Better Broadband

Holts Summit residents and businesses can expect to receive the opportunity to sign up for Callabyte services in 2018. Business development supervisor for the cooperative, Rob Barnes told attendees at a recent Alderman meeting that the co-op would likely divide the deployment into three phases due to the size of the town. Holts Summit is about 3.5 square miles and home to 3,700 people.

The community of Holts Summit obtains electric service from Ameren Missouri, rather than Callaway Electric; Holts Summit and the cooperative are developing a non-exclusive franchise agreement just as they would a private sector provider that wished to offer video services in Missouri. Businesses and residents in the town currently use satellite Internet service and cable Internet access from Mediacom.

"We've got a number of citizens that would like to start a home-based business, but won't because they don't have reliable internet right now," [City Administrator Rick] Hess said. "So this will be great for businesses."

Ever Growing Service From Co-ops

Calloway Electric Cooperative has been reaching an expanding list of communities and intends to provide service all of Calloway County. They offer Internet access, voice, and video bundles and people in their service area are signing up for all three.

“We are still surprised that the landline service is something people still are taking,” Barnes said. “But as you get out into the rural portions of Callaway County, cellphone service still doesn’t work very well.”

In the midst of price increase announcements from Comcast and others for 2018, gigabit subscribers in Longmont, Colorado, are enjoying a price decrease from their publicly owned network, NextLight.

Happy New Year

As of January 1st, standard residential gigabit Internet access rates dropped from $99.95 per month to $69.95 per month. According to Longmont Power and Communications (LPC), about 28 existing subscribers obtained gigabit speeds at the old rate; along with any new gigabit subscribers, the existing customers will receive the new rate.

In addition to this most recent price reduction, NextLight offers a loyalty bonus for subscribers who obtain service for 12 continuous months. Gigabit subscribers who qualify have rates reduced to $59.95 per month. Charter Members — residents who subscribe for services within three months that service is available within their area — are able to receive gigabit connectivity for $49.95 per month as long as they keep their services. Charter Member rates stay with the premise if they sell their home and take that rate with them to their new residence. NextLight subscribers can also sign up for 25 Mbps service for $39.95 per month.

All speeds are symmetrical so subscribers can take advantage of the robust upload speeds. Subscribers are better positioned to work from home and establish at-home businesses. With symmetrical connectivity, Longmont’s school children can take full advantage of web based home work programs and adults who want to pursue distance learning don’t have the hurdle of poor Internet access to handicap their goals.

Part Of The Success

In addition to affordable rates, NextLight offers promotions to increase sign-ups. Subscribers who successfully refer others will get one month of free service for each new subscriber. NextLight is extending the promotion to its Digital Voice service during the first three months in 2018.

"We're customer-based and customer-focused," Longmont Power and Communications General Manager Tom Roiniotis said in a statement.

In southern California, the city of Manhattan Beach is considering creating a municipal broadband network to extend quality, affordable broadband to its residents and businesses.

Advocating for Quality Internet 

Talk of the network surfaced from Information Technology director Sanford Taylor’s "Fiber Master Plan." Beyond providing better broadband, the network would support “Smart City” projects: synchronized street lights, community cameras, and parking meters that allow drivers to find parking spots through an internet app.

Taylor previously worked for the city of Long Beach where he helped spearhead their fiber network. Municipalities typically pay exorbitant prices for large-scale high-speed Internet. Long Beach had been paying around $14,000 per month before Taylor transitioned from traditional ISPs to a wholesale option costing only $1,100 per month.

Nearby Santa Monica has had success with their publicly owned network, which connects businesses, community centers, and has helped improve the functionality of municipal systems like traffic signals and cameras. The Long Beach I-Net facilitates city operations by providing connectivity to municipal facilities but doesn't connect businesses or residents. A private firm, Inyo Networks, developed a citywide fiber-to-the-home (FTTH) network in the nearby town of Ontario; Taylor and Public works director Stephanie Katsouleas have been studying the arrangement closely. They are also visiting other communities that are investing in publicly owned Internet infrastructure, including Beverly Hills.

Taylor issued a Request for Proposals recently and just that small signaling of network independence had ISPs scrambling, resulting in the city obtaining service through a different incumbent provider with more bandwidth at nearly half the cost. 

The state of Minnesota has awarded Paul Bunyan Communications the Border-to-Border Broadband grant to expand fiber optic services to three different counties.

The expansion will cost $1.78 million, with Paul Bunyan Communications contributing $980,990, and the state Border-to-Border grant covering $802,620. The plan should be finalized by the spring and construction will start this summer. Paul Bunyan Communications projects the build-out will be completed by June 2020.

Rural Minnesota Gets Better Connected

The Border-to-Border Fund was created by the Minnesota state legislature back in 2014. The goal is to help make the financial case for providers to invest in building infrastructure into unserved and underserved areas of the state.

Many underserved areas of the state have included the Border-to-Border grants in their planning process and as a pivotal part of their expansion models. The financial boon from the state has proved successful for many communities. RS Fiber Cooperative has been successfully connecting towns and rural areas in Sibley and Renville County, and they recently announced a gigabit residential connection at no additional cost for subscribers. It’s also attracting investment and industry, explained Mark Erickson in a recent report, citing the forthcoming medical school being built in Gaylord:

"We have that opportunity because of the Fiber-to-the-Home network. Without it, no medical school."

Cooperative Success 

Paul Bunyan Communications Cooperative has already made massive strides in providing high-speed access to large swaths of northern Minnesota. Paul Bunyan’s GigaZone reaches more than 29,400 locations, covering more than 5,000 square miles in Beltrami County, also reaching areas of Cass, Hubbard, Itasca, Koochiching, and St. Louis Counties.

This is the transcript for Episode 280 of the Community Broadband Bits podcast. Christa Wagner Vinson, Deborah Watts, and Alan Fitzpatrick join Christopher Mitchell at the Atlanta airport to discuss the work of NC Hearts Gigabit and how they're organizing for local choice and better connectivity. Listen to this episode here.

Deborah Watts: And you know we need we need to get regulations in legislation that prevents local choice out of the way these people on the tractors the ones in the production rooms the ones in the businesses that can go to their representatives and say You all need to do something about this because I'm having difficulty running my business. I can't be competitive.

Lisa Gonzalez: You're listening to episode 280 of the Community Broadband Bits podcast from the Institute for Local Self-Reliance. I'm Lisa Gonzalez. Christopher recently attended the broadband community's economic development conference where he was able to connect with this week's guests from North Carolina Christa Wagner Vinson, Deborah Watts, and Alan Fitzpatrick from the group and NC Hearts Gigabit joined Chris to talk about local choice and better connectivity in North Carolina and how they're using technology to bring people together. Catharine Rice from the Coalition for Local Internet Choice was also there in this conversation. You'll learn how and see how it's gigabit began. Who's involved. What they've accomplished their goals and you'll also hear some tips on the best way to get the word out and get organized. You can learn more about the group. Check out the collection of resources and even join up at their website and see hearts gigabit dot com. Here's Christopher with Christa Wagner Vinson, Deborah Watts, Alan Fitzpatrick, and Catharine Rice.

Christopher Mitchell: Welcome to another edition of the Community Broadband Bits podcasts. I'm Chris Mitchell with the Institute for Local Self-Reliance in Atlanta sitting on the runway of the Atlanta airport at the Broadband Communities Conference talking to you now with three folks from an organization called NC Hearts Gigabit I'm going to start by introducing Christa Wagner Vinson, the economic development consultant of the group. Welcome to the show.

Southeastern Missouri residents in three counties will soon have Fiber-to-the-home (FTTH) available through the Pemiscot-Dunklin Electric Cooperative. The new project marks yet another opportunity for rural residents and businesses to obtain high-quality connectivity from their electric service providers.

Regional Improvements 

Missouri specifically has been utilizing rural cooperatives as a means to connect people to improved Broadband Internet. Barry Electric Cooperative, Co-Mo Cooperative, Callaway Electric Cooperative, Ralls County Electric Cooperative, and Sho-Me Power Electric Cooperative have all begun connecting businesses and residents to their fiber networks.

Pemiscot Dunklin Fiber will serve the residents of Dunklin, Pemiscot and New Madrid counties. The co-op has yet to announce subscription prices, but will offer video, voice, and high-speed Internet access. They plan to provide symmetrical connectivity so subscribers can be participants in the online economy, not just consumers. DSL connections are available to much of the area with scant cable offerings.

Cooperative Power

Electric cooperatives have provided essential services to rural and underserved areas for many years, and recently they’ve begun to offer Internet service in an effort to ensure rural communities aren’t left behind.

Pemiscot-Dunklin Co-op was organized in 1937, one year after the Rural Electrification Act. The New Deal Era legislation provided federal money for the installation of electrical distribution centers. By 1950, the cooperative had lit up around 90 percent of the region. Ever since the 1950s, the area has contended with population decline as people move to urban areas for employment. Better connectivity spurs economic development, and the cooperative likely sees this investment as both a way to serve members and to make the region more desirable to businesses.

Rural communities across the United States are already building the Internet infrastructure of the future. Using a 20th century model, rural America is finding a way to tap into high-speed Internet service: electric and telephone cooperatives are bringing next-generation, Fiber-to-the-Home (FTTH) networks to their service territories. This policy brief provides an overview of the work that cooperatives have already done, including a map of the cooperatives' fiber service territories. We also offer recommendations on ways to help cooperatives continue their important strides.

Download the policy brief, Cooperatives Fiberize Rural America: A Trusted Model For The Internet Era here.

Key Facts & Figures

Farmers first created utility cooperatives because large private companies did not recognize the importance of connecting rural America to electricity or telephone service. Now, these cooperatives are building fiber infrastructure.

Almost all of the 260 telephone cooperatives and 60 electric cooperatives are involved in fiber network projects. As of June 2016, 87 cooperatives offer residential gigabit service (1,000 Mbps) to their members.

Rural cooperatives rely on more than 100 years of experience. The cooperative approach does not stop with rolling out rural infrastructure, but ensures that their services remain viable and affordable. 

The majority of Montana and North Dakota already have FTTH Internet access, thanks to rural cooperatives. Even one of the poorest counties in the country (Jackson County, Kentucky) has FTTH through a telephone cooperative.

AT&T receives about $427 million each year in rural subsidies to bring Internet service to rural America, but AT&T does not invest in rural fiber networks. 

Moving Forward

Our policy recommendations offer an outline of how to build off of this work and further support rural cooperatives:

1. Design funding programs with cooperatives in mind. Recognize what requirements make sense for large organizations and what is unnecessary for cooperatives.

Approximately 30 miles separate Morristown and Newport, but the two are joining forces to better connect local businesses and residents as entrepreneurs take up residence in the region's newest high-tech work space.

An Incubator for Innovation in Morristown

SkyMart Venture Place is a new cooperative workspace stirring innovation in the quaint downtown district of Morristown.

Morristown was on the forefront of implementing city-wide Fiber-to-the-Home (FTTH) back in 2006. Today their gigabit network MUS FiberNET is fostering innovation in this thriving co-working space and helping neighboring communities bridge their connectivity gaps. Lynn Wolfe explains that the new space has helped support her in the early stages of her business. “[SkyMVP] gives me a place—with super-fast internet—to come and do my internet marketing, and it has been very beneficial for that and being able to upload my training videos,” Wolfe said.

SkyMVP’s doors opened in August of last year and it’s become a hub for local entrepreneurs. The space allows members to hold workshops, rent office space, and network with other professionals.

Similar incubator projects are underway in Virginia’s Roanoke Valley and Indianola, Iowa. SkyMVP is yet another example of how gigabit connectivity can spur positive transformations for local communities. Morristown’s decision to invest in FTTH infrastructure is emboldening their local economy and potential for small business growth in the area is promising. Sky MVP has even begun offering a course for budding entrepreneurs and a handful of free workshops.

Expanding the 'Net in Newport