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New Comic: Longmont Fiber Crushes Comcast's Cable Outhouse

Longmont Power and Communications, a city-owned utility north of Denver in Colorado, is slowly rolling out a FTTH network to local businesses and residents that are in close proximity to its existing fiber loop. They are offering a symmetrical gigabit of Internet access for just $50/month. Longmont Fiber Comic Strip Download this comic as a pdf. Sign up for our one-email-per-week newsletter with ongoing coverage of community owned networks. The local newspaper notes that some local businesses have already signed on, including a clinic:
Jurey said the city's network is three times faster than the speeds the clinic got before at a cost savings of $1,600 a month.
On November 5, citizens will decide a referendum on whether to expedite the building by issuing revenue bonds without increasing local taxes. A brochure explaining pro and con is available here [pdf]. Approving the bonds means building the network to everyone in a few years while not approving it will mean building the network over several decades. We recently did a podcast with Longmont Power and Communications Broadband Services Manager Vince Jordan and a local citizen campaigning for the referendum. Listen to that show here. Read the rest of our coverage about Longmont here.

Longmont Prepares to Vote on Fiber Bonds - Community Broadband Bits Episode #68

As Longmont prepares to vote on November 5, we are paying special attention to question 2B, which will authorize the city utility to issue revenue bonds to finance the FTTH network already being built. The successful referendum from 2011 gave the City authority to build the network and this referendum, if successful, will finance a rapid expansion rather than the present incremental approach that will take decades. We have a double interview today, with Vince Jordan rejoining the show from Longmont Power and Communications. He previously spoke with us on episode 10 but today he just gives us the facts about the network and scenarios of what will happen depending on how the city votes. The second interview is with George Oliver, co-founder of the grassroots group Friends of Fiber that is advocating for people to vote yes on question 2B. George explains the benefits of passing this debt, namely that area residents and businesses will gain access to a world class networks without increasing any taxes. Friends of Fiber is on Twitter and Facebook. Read our other stories on Longmont here. Read the transcript from this show here. We want your feedback and suggestions for the show - please e-mail us or leave a comment below. Also, feel free to suggest other guests, topics, or questions you want us to address. This show is 30 minutes long and can be played below on this page or via iTunes or via the tool of your choice using this feed. Listen to previous episodes here. You can can download this Mp3 file directly from here. Find more episodes in our podcast index. Thanks to Break the Bans for the music, licensed using Creative Commons.

Centennial, Colorado: Voters To Decide on Authority to Build Fiber Network

The people of Centennial, Colorado, will have the opportunity to vote this fall on the option to allow their city to provide indirect telecommunications services. Located south of Denver in the metro area, Centennial has over 100,000 residents. Recently, the City Council unanimously approved the following ballot question for the upcoming elections. The city press release shared the wording voters will see in November:

SHALL THE CITY OF CENTENNIAL, WITHOUT INCREASING TAXES, AND TO RESTORE LOCAL AUTHORITY THAT WAS DENIED TO ALL LOCAL GOVERNMENTS BY THE STATE LEGISLATURE, AND TO FOSTER A MORE COMPETITIVE MARKETPLACE, BE AUTHORIZED TO INDIRECTLY PROVIDE HIGH-SPEED INTERNET (ADVANCED SERVICES), TELECOMMUNICATIONS SERVICES, AND/OR CABLE TELEVISION SERVICES TO RESIDENTS, BUSINESSES, SCHOOLS, LIBRARIES, NON-PROFIT ENTITIES AND OTHER USERS OF SUCH SERVICES, THROUGH COMPETITIVE AND NON-EXCLUSIVE PARTNERSHIPS, AS EXPRESSLY PERMITTED BY ARTICLE 29, TITLE 27 OF THE COLORADO REVISED STATUTES?

As we note on the Community Network Map, Colorado requires a majority referendum unless incumbents refuse to offer requested services. This vote would not establish a utility or approve funding, but would allow community leaders to investigate municipal network possibilities. From a Villager article:

“I’m not sure we know exactly where this could go in the future,” District 4 Councilman Ron Weidmann said at the Aug. 5 council meeting. “But let it breathe and let it take shape. I think we need to give this thing a chance.” 

Over 40 miles of city-owned fiber run under major rights-of-way to manage traffic signals. Centennial hopes to utilize the excess capacity and work with private providers to bring connectivity to local businesses, municipal government, schools, libraries, and possibly residents. 

Like other Colorado communities, Centennial realizes its vitality depends on its ability to ensure better Internet access to existing and potential employers. Centennial's business community complains that the lack of high-speed connections hold them back. 

Longmont Friends of Fiber Rallies Supporters, Preps for Referendum Fight

Longmont's City Council and municipal power and communications utility are getting serious about bringing fiber to the people. We reported earlier this month about the decision to allow voters to decide how fast they want that next generation network. Longmont Power and Communications (LPC) already plan to expand the existing network to households and businesses but face a long, slow time table over many years if they expand incrementally without bonding. The City Council will ask voters if they will authorize a $44 million bond issue to pay for capital costs, interest and debt-service reserve.

Many in Longmont recall the ferocious opposition they faced during the two previous referendums. The cable industry (mostly Comcast) spent hundreds of thousands of dollars during each campaign, saturating citizens with a deceitful advertising campaign.

Once again, local citizens are forming their own group to support the measure. A Scott Rochat Longmont Times-Call article reports that the group, Friends of Fiber, recently met in Longmont's TinkerMill "hackserspace" to plan initial strategy. The main take-away for participants was "we need more people."

The group does not want to be taken by surprise by the same astroturf groups that spent $250,000 dollars to defeat the referendum question in 2009. While a second referendum passed in 2011 despite even more astroturf spending, Friends of Fiber are taking no chances and mobilizing now. Both of those referenda dealt with the authority to operate the network, not finance an expansion.

From the article:

[Organizer Scott] Converse said the group had to be ready for just as big a fight now. One tactic will be borrowed from the national political campaigns; creating software that will scan the Internet for negative references to the bond issue so that the group can respond quickly.

Vince Jordan, LPC Telecom Manager, note that the utility has updated the original service offering from $59.95 for 25 Mbps to $49.95 for residential 1 gig service. From the meeting:

Longmont to Vote a 3rd Time on Fiber Network

The Longmont community will soon have the chance to decide how quickly they want ubiquitous FTTH. On July 23rd, the City Council unanimously approved a proposal to ask voters in a referendum if they want to bond for funds to speed up construction of the LPC fiber network. Absent bond financing, the network will expand much more slowly over many years.

Readers will remember the 2011 referendum to allow the electric utility to offer broadband services to the people and businesses of Longmont. At the time, Comcast spent over $300,000 via the Colorado Cable Telecommunications Association to fund an unsuccessful Vote No astroturf campaign. The community approved the measure with 60% of the vote. There was an earlier referendum in 2009 that ended in a victory for Comcast following a successful astroturf campaign. Records showed a similar infusion of cash to sway the vote. 

In the recent meeting, some Council Members expressed concern over the city bonding to invest in the telecom business. The Longmont Times Call reported on the meeting:

"We're again a government playing in the private world of capitalism," [Councilman Brian] Bagley said. "What if we don't know what we're doing?"

City Manager Harold Dominguez noted that even if voters approved a bond, the city could still take on a partner. If it passes, he said, the city would have a pretty good idea of how big a piece of the market it could get. And implementation wasn't a huge risk, he said, because the city already knew it could provide the service; it had been doing so for itself, the school district and a few other large users for years.

"Based on the information we've received, yes, we can do it," Dominguez said.

Silverton, Colorado, Breaks Ground in First Phase of Regional Network

In 2010, Silverton, Colorado, decided to build a fiber-optic loop for savings and better connectivity in rural San Juan County. At the time, Qwest (now CenturyLink) provided a microwave connection to the town of around 630 residents. After taking state money to connect all the county seats, Qwest decided to take fiber to everyone except Silverton, much to the frustration of local residents. We wanted to catch up with happenings in this former silver mining camp.

We spoke with Jason Wells, Silverton Town Administrator, who told us that Silverton's loop is part of a regional effort, the Southwest Colorado Access Network (SCAN). Silverton's loop broke ground in April and it will cost $164,000. Silverton and San Juan County contributed $41,000 and the remainder comes from a Southwest Colorado Access Grant. Wells says public institutions will be hooked up first, then downtown businesses. Connecting the schools will come later.

The community is limited by its remote geography. At 9,300 feet above sea level, the town is one of the highest towns in the U.S. and still served by microwave technology. Wells hopes future expansion will include wiring Silverton to Durango, the closest SCAN community. Durango connects municipal and La Plata County facilities with its municipal fiber and leases dark fiber to local businesses, private providers, and community anchor institutions.

Wells connected us to Dr. Rick K. Smith, Mayor of participating Bayfield and General Manager of the Southwest Colorado Council of Governments (SWCCOG). Dr. Smith shared some history on the SCAN project.

Longmont Leaders Understand Need for Network

Longmont, Colorado, kept its eye on the prize. City leaders' vision, to bring high-speed connectivity to residents, businesses, schools, libraries, and government facilities began many years ago and the community faced multiple challenges. Citizens knocked down legislative barriers through referendum, fought corporate misinformation campaigns, and contended with tough economic times. Throughout the ordeal, community leaders held fast and now the vision is becoming a reality.

Current Mayor Dennis Combs inherited the project but he understands what the vision will bring to the community. In a recent article in the Boulder County Business Report, Combs focuses on economic development, education, and lifestyle as primary driving factors and says:

These are just a few reasons why it’s important for Longmont to realize its vision of being a connected city. If the city moves forward and deploys this network, it will join a number of elite communities around the country where citizens can work, learn, and live using the latest technologies available.

After ample opportunity to invest in the network Longmont residents and businesses asked for, Comcast chose to spend significant resources repeatedly trying to block a municipal network.

Fortunately, Combs and previous leadership took action to fix the lack of connectivity rather wait forever for two providers that did not want to invest in the community. Longmont's vision would never be this close to reality without leaders and citizens who chose a path of local self-reliance.

Longmont City Council Approves Fiber Network

Longmont, Colorado, will move ahead with plans to offer fiber connectivity to the entire community. After presenting this business plan to the City Council, members voted unanimously on May 14th to support the measure. Scott Rochat from the Times-Call attended the meeting.

Residents stepped forward to express their opinions and all but one urged the council to "get it done."

From the Rochat article:

The plan projects a four-tier price structure. For residential rates, that's proposed to range from $39.95 a month for 10 megabit-per-second upload and download, to $99.95 for 100 mbps.

The study estimates that 35 percent of homes would choose to get their Internet service from the city, still leaving plenty of the field for the existing providers.

"Competition is good," Councilman Alex Sammoury said. "Just because we're a government entity doesn't mean the free market doesn't apply to us. If someone can do it better, more power to them."

The plan proposes to have the city provide Internet directly and work with a private partner for phone service.

Video service would not be provided, Roiniotis and the Uptown consultants said, because Internet video has eroded the market for traditional television.

Vince Jordan, LPC Manager, began the presentation and stressed economic development, education, and lifestyle.

Representatives from Uptown Services reviewed recommendations and the business plan. They answered about 3 hours of questions from council members, including skeptical members who want to avoid becoming the next Provo, Utah. Neil Shaw and Dave Stockton from Uptown Services provided some perspective between the two communities. They pointed out the large number of successful networks in states across the country.

Longmont had been prepared to incrementally expand the network using the cash on hand from the many years of dark fiber leasing. Such an expansion could be done without borrowing but would take a long time (more than ten years, likely) to get to everyone. This is the approach Danville, Virginia, has been using.

Businesses Lining Up for Service in Longmont, FTTH Build-Out Studied

In January, Longmont Power and Communications (LPC) announced they would begin connecting businesses located within 500 feet of the existing network. As we reported, local businesses were chomping at the bit to get hooked up and enjoy the high-speed next generation network. Even without efforts at marketing or advertising, more businesses have added themselves to the queue. LPC will present the formal business plan for expanding the network to the City Council on May 14th. Tony Kindelspire recently reported on the race to get on LPC's network in the Longmont Times-Call:

"We are bringing to council a business plan to build out all of Longmont," [Vince] Jordan, [Broadband Services Manager], said. "It's the whole enchilada."

The fact that there has so far been only limited rollout is due to economics. Currently, the installations are being paid for from a reserve fund that Longmont Power has built up over the years leasing portions of its fiber-optic loop to entities such as Longmont United Hospital and a third-party provider that services the school district. Those leases bring in about $250,000 annually, Jordan said.

For 2013, the Longmont City Council authorized LPC to use $375,000 of that reserve fund to begin connecting businesses and residents to the loop.

This model works, but does not connect everyone fast enough for their liking:

To expedite the build-out, extra up-front dollars will have to be allocated, but where those dollars will come from is yet to be determined, Jordan said, adding that ultimately, the decision will lie with City Council.

In Colorado, City of Durango Does Dark Fiber

This southwest Colorado community of about 17,000 contends with state barriers, but still makes the most of its fiber assets. We contacted Eric Pierson, Information Services Manager for the City of Durango, and Julie Brown, the City Finance Manager. The two shared some information on Durango's fiber network.

Currently, fifteen miles of City owned fiber run through town, providing connectivity for municipal and La Plata County facilities. Installation began in 1994 and the build-out continues. A combination of City capital improvement funds, grants from the State of Colorado Department of Local Affairs (DoLA), and funds from the Joint City/County Sales Tax fund have contributed to the $1.7 million network over the past twenty-one years.

Durango leases dark fiber to businesses and nonprofits to boost economic development and fund maintenance for the network. While dark fiber leasing could be far more lucrative, Durango's goal is to break even each year. According to Brown and Pierson, 2013 will yield about $10,000 to be shared with La Plata County and the Southwest Colorado Council of Governments.

Mercy Regional Medical Center partnered with Durango to install fiber as its primary bandwidth connection. Mercy is now an important anchor institution for a large medical office complex in what used to be an undeveloped area. In addition to the clinic, new businesses and residents continue to expand in the area.

According to Brown and Pierson, local ISPs that lease the fiber to serve residents and businesses have increased bandwidth for customers. A significant number of professionals that live in Durango work from home.

Even though Durango is not able to freely expand the network due to state restrictions that limit how it can use the fiber absent a costly referendum, community leaders found a way to optimize their network for residents and businesses. And should the state be wise enough to repeal this anti-competitive barrier, Durango will be well positioned to benefit local businesses.