Tag: "cooperative"

Posted February 10, 2020 by lgonzalez

Gascosage Electric Cooperative, serving members in south-central Missouri, recently joined the list of ReConnect recipients. The co-op will use a $14 million grant and loan combination to deploy gigabit Fiber-to-the-Home (FTTH) to members in four counties where people are unserved and underserved.

Natural Choice

Gascosage General Manager Carmen Hartwell told St. Louis Public Radio, “We’re really a natural choice for this. We already have the infrastructure in place and a history of bringing utilities to rural residents.”

Co-Mo Cooperative and Ozarks Electric Cooperative in Missouri are two other rural electric cooperatives that have expanded the use of their infrastructure to provide broadband to members. In the rural regions of Missouri, as in other states, people living in less populated areas recognize the crucial role high-quality connectivity plays in economic development, educational opportunities, and ability to remain competitive.

“When we take a look at educational opportunities and economic development, internet access may stimulate growth of businesses in our area,” said Hartwell. “It might bring more people into our area that otherwise maybe telecommute for their jobs. Now, they’re going to be able to live on family farms.”

Phasing In Fiber

The co-op has a three-phase plan to connect more than 1,100 households, 20 farms, 20 local businesses, and two rural fire-protection districts. Gascosage has posted detailed information for members, including maps, on their website and their Facebook page revealing exactly where the deployment will occur. The deployment areas are in Camden, Maries, Miller, Phelps, and Pulaski counties. Subscribers will also be able to sign-up for voice services.

Phase one should be completed in early 2021 and will make symmetrical gigabit connectivity available to 285 premises, three farms and eight businesses. Phase two will add 295 premises, to the network, and should also be completed in 2021. The largest Phase will connect 729 homes, businesses, and farms; the co-op will deploy this phase in 2022 and 2023. 

...
Read more
Posted February 6, 2020 by Katie Kienbaum

At the end of 2019, Congress passed the Revitalizing Underdeveloped Rural Areas and Lands (RURAL) Act, fixing a tax law change that threatened to raise rates and delay the expansion of broadband for rural cooperative members across the country.

Passage of the RURAL Act ensures that cooperatives can accept federal funds for broadband deployment, disaster relief, and other efforts without risking their nonprofit tax exempt status. A change in the 2017 tax law would have labeled these funds as revenue for the first time, potentially causing co-ops to exceed the allowable percentage of non-member income they must maintain to remain tax exempt.

After Senators Tina Smith (D-Minn.) and Rob Portman(R-Ohio) and Representatives Adrian Smith (R-) and Terri Sewell (D-Ala.) introduced the bipartisan bill in April, it attracted 55 additional cosponsors in the Senate and more than 300 in the House. It was eventually incorporated into the consolidated appropriations act and signed into law in December.

“Obstacles From the Federal Government”

We described the possible impact of the 2017 tax law change on rural cooperatives over a year ago, when Senator Smith first brought the issue to our attention.

Failure to remedy it would have forced some co-ops to choose between continuing with desperately needed broadband and disaster recovery projects and increasing their members’ rates. Northwestern Electric Cooperative CEO Tyson Littau described the difficulty of that decision to the National Rural Electric Cooperative Association (NRECA):

Do we rebuild and try to strengthen our distribution system and pay the taxes, or do we delay the mitigation project that would improve 1,200 miles of line throughout our territory? I think we have a responsibility to the membership to improve the system for the future.

Gulf Coast Electric Cooperative was another co-op faced with the prospect of raising electric rates to...

Read more
Posted February 6, 2020 by lgonzalez

This is our fifth episode of the podcast project we're working on with nonprofit NC Broadband Matters to share broadband news, challenges, and innovations from North Carolina. NC Broadband Matters works to find ways to bring ubiquitous broadband coverage to residents and businesses across the state.

Susan Cashion, Vice President, Chief Compliance & Administrative officer from Piedmont Electric Membership Corporation, and Greg Coltrain, Vice President of Business Development for RiverStreet Networks from Wilkes Telephone Cooperative join Christopher for the podcast. When they met up at an event in Raleigh, they discuss the co-ops' collaboration to bring high-quality Internet access to people who live in rural areas.

logo-nc-hearts-gigabit.png In this interview, we learn more about both cooperatives and about their long histories of serving people who live in rural communities. Each has their own special expertise and this partnership allows them to combine those for the benefit of members who want better connectivity. Piedmont is one of several electric cooperatives that Wilkes, through RiverStreet, is working with to expand connectivity in rural North Carolina. Greg also describes the ways that RiverStreet works with local communities to take advantage of public assets to expand broadband to more households and businesses.

We want your feedback and suggestions for the show-please e-mail us...

Read more
Posted January 29, 2020 by lgonzalez

As the USDA continues to award federal ReConnect funds for rural connectivity, we're glad to see that communities in West Virginia are not being ignored. Most recently, the Harrison Rural Electrification Association (HREA) announced that they will dedicate ReConnect grant funding of approximately $18.75 million to deploy Fiber-to-the-Home (FTTH) in rural sections of their service area.

Combining Funding and Collaboration

The project will bring more than 6,300 households high-quality connectivity along with five educational facilities and another community facility. The deployment will cover approximately 354 square miles within Harrison, Lewis, Upshur, Barbour, and Doddridge counties. Once completed, the project will provide better connectivity to around 16,000 residents.

In total, the project will cost an estimated $25 million and HREA will use a $6.2 million loan from CoBank to cover the difference. They plan to complete the project within 3 1/2 years and cooperative leadership intend to have the project ready for bids by the end of February.

Rather than offering Internet access directly to members, the cooperative will work with Prodigi Fiber, a private sector ISP that works exclusively in West Virginia and only with FTTH connectivity. The co-op will lease the infrastructure to Prodigi and dedicate the proceeds from the lease toward the CoBank loan payments.

Early Excitement

On the HREA Facebook page, locals have expressed their excitement at the prospect of better connectivity. Some note the need for better reliability while others are looking for better speeds or alternatives to current options. 

Lenny W.: Was excited to get the email. This is great for the rural areas of this county. Are there any maps or projections on what areas are going to start and when? I’ll sign up for whatever is $75-$100 per month.

Ken C.: Whoooohoooo

Sharon L.: Please,...

Read more
Posted January 21, 2020 by Katie Kienbaum

Over the last few months, the U.S. Department of Agriculture (USDA) has released a steady stream of awardee announcements for the first round of its ReConnect broadband program. Among the recently announced recipients is Valley Telecommunications Cooperative Association in Flandreau, South Dakota. The telephone co-op will receive a grant of about $9.5 million to connect nearly two thousand underserved households, businesses, and farms to it’s existing fiber network.

The first round of ReConnect funding made $600 million available in grants and loans to Internet service providers to expand broadband access across the country. Many of the round one awards have gone to locally-run, community-owned providers, like Valley Telecommunications, to build fiber networks. This includes grants to Forked Deer Electric Cooperative; Orangeburg County, South Carolina; and Star Telephone Membership Corporation, as well as awards to two economic development agencies in Tyler and Wetzel Counties, West Virginia.

Valley Reaches a Peak

Members of Valley Telecommunications Co-op can already subscribe to gigabit speed fiber connectivity. From 2008 to 2016, the co-op replaced all of its old copper lines with a modern fiber optic network. “One hundred percent of our members in north central South Dakota can receive gigabit broadband services via that fiber network,” shared CEO and General Manager Jeff Symens at a press conference announcing the ReConnect grant.

Soon after completing the fiber buildout, the co-op decided to expand into nearby communities such as Volga and De Smet, operating under the name Valley FiberCom. However, this still left some homes and businesses outside of the towns unconnected. Symens explained:

It never solved the most underserved...

Read more
Posted January 15, 2020 by shrestha

Farmers depend on Internet connectivity like any other businesses for daily office tasks such as record keeping, reporting, banking, and marketing. This dependency stretches further as daily farming productivity depend on GPS-based applications that enable real-time data collection giving accurate information on soil fertility, field mapping, and other farm-related tasks. An October 2019 report from the United Soybean Board (USB) describes how poor connectivity is striking at the heart of America’s agricultural industry.

Profitability and Sustainability: Threatened 

The report, titled Rural Broadband and the American Farmer [PDF]  reveals that 60 percent of U.S. farmers and ranchers do not have adequate Internet connectivity to run their business and 78 percent do not have a choice in Internet Service Providers (ISPs). The USB study touches on how poor Internet connectivity in rural parts of the country has negatively impacted profitability and sustainability in farming.

Among 2,000 farmers surveyed by the USB, 59 percent of  farmers plan to incorporate more data onto their system and 28 percent are considering more data usage. Most also want to use high-tech and data transfer applications but the impact of poor connectivity and unreliable Internet service does not allow them to do so. Michael H., a soybean farmer in south-central Louisiana said that, “Without the right support network, we can’t even consider taking advantage of getting real-time information from one piece of equipment to another.” Up to 33 percent of farmers said poor connectivity has affected their equipment purchases.

The U.S. Department of Agriculture Economic Research Service reports that farming productivity contributes nearly $133 billion to the U.S. gross domestic product (GDP) but lack of connectivity has heavily impacted farmers to contribute only $80 billion. 

Arkansas soybean, cotton, and corn farmer Vonda K. explained:

We need both financial sustainability and sustainability of the land. I would like to have more moisture sensors, to know exactly what’s going on. We have a couple of wells that we can shut off remotely, but I would love to...

Read more
Posted January 9, 2020 by lgonzalez

In recent years, co-ops and municipalities in Colorado have been making fiber optic network investments to provide connectivity so citizens can compete in the digital economy. With all this fiber deployment in Colorado, there are still extremely rural areas that lack access to broadband. With a little help from the U.S. Department of Agriculture (USDA), people living in Dove Creek, near the Utah border, will soon have access to fiber connectivity.

Another Cooperative Receives ReConnect Funding

This fall and winter, we've reported on several electric and telephone rural cooperatives that have won funding through the USDA's ReConnect Program. In Dove Creek, Emery Telecommunications & Video, Inc., a subsidiary of cooperative Emery Telecom will extend service to the small community in Dolores County, Colorado. The co-op will use the $2.73 million grant to deploy Fiber-to-the-Home (FTTH) to more than 500 residences, eight school district facilities, and public safety facilities in Dove Creek and in the nearby community of Monticello, Utah. Among the premises that will receive better connectivity will be farms, ranches, and small businesses.

Emery Telecom will add $1 million to the grant funding and anticipates completing the project within five years, although Emery CEO Brock Johansen believes they can finish deployment sooner. The demand is high, adding extra motivation to finish the project sooner. “We get a lot of requests for service out near the state line,” he said.

"Best Thing Since Pockets on a Shirt"

Neither residents nor businesses have options for Internet access in Dove Creek and and the only type of Internet access available are DSL and satellite. CenturyLink and EarthLink provide DSL service; neither cover the entire town. Dolores County Commissioner Floyd Cook told the Durango Herald in November that the county courthouse and the local high school, middle school, and elementary school have higher capacity connections, but no ISP provdies the same caliber of Internet access businesses or households. The Emery Telecom project is a welcome...

Read more
Posted January 6, 2020 by lgonzalez

Originally published in 2017, our report, Cooperatives Fiberize Rural America: A Trusted Model for the Internet Era, focuses on cooperatives as a proven model for deploying fiber optic Internet access across the country, especially in rural areas. An update in the spring of 2019 included additional information about the rate at which co-ops are expanding Internet service. Now we’ve updated the report with a new map and personal stories from areas where co-ops have drastically impacted local life.

Download the updated report [PDF] here.

All versions of the report can be accessed from the Reports Archive for this report.

Some highlights from the third edition of Cooperatives Fiberize Rural America include:

  • More than 110 rural electric co-ops have embarked on fiber optic projects to increase Internet access for their members, a number that is growing rapidly from just a handful in 2012.
  • 31.3 percent of the fiber service available in rural areas is provided by rural cooperatives.
  • Personal anecdotes from Michigan, Virginia, Minnesota, and Missouri residents attest to the far-reaching benefits of cooperatives’ expansion into Internet service.
  • new map shows where rural cooperatives are planning to expand fiber Internet service.

Co-ops have proven that this is a model that works. With increased support from federal and state governments, they will continue to connect rural Americans to economic and educational opportunities otherwise denied to them.

*We discovered an error in our first release of the December 2019 edition of this report, which we have since corrected. We deeply apologize for the mistake and take this very seriously -- these data are challenging to work with but we are committed to accurately reporting broadband statistics.

The correct statistic is that cooperatives provide 31 percent of all...

Read more
Posted December 26, 2019 by Sayidali Moalim

Made possible through changes in Mississippi state law, cooperative Tallahatchie Valley Electric Power Association (TVEPA) has made the move to create a separate, not-for-profit, fiber Internet Service Provider (ISP). Under the trade name, Tallahatchie Valley Internet Services (TVI-Fiber), the co-op plans to offer fiber Internet service across nine northern counties in Mississippi.

Overturning Tradition for Better Rural Connectivity

Until earlier this year, a Mississppi law banned electric cooperatives from operating for any purpose other than electricity. A state Supreme Court decision from 2002 against TVEPA effectively banned electric cooperatives from expanding into other utilities. When Mississippi’s state legislature passed the Mississippi Broadband Enabling Act of 2019 (HB 3660) it opened the door for electric cooperatives to provide high-speed Internet access. Immediately after the bipartisan passage, TVEPA went straight to work on evaluating the service area and determining the feasibility of the project. 

“Access to high speed Internet is vital for consumers, education, entertainment and other services in our increasingly digital world,” said Brad Robison, TVEPA chief executive officer. “High-speed Internet is imperative for advancement of business, economic development and tele-medicine. We will offer affordable, reliable broadband with lightning fast speeds and unlimited possibilities for homes and businesses to the areas served by TVEPA.”

TVEPA's service area sits west of Tupelo in northern Mississippi and the co-op serves around 27,000 customers. Batesville is the most populated community in the service area, with about 7,200 people. Most of TVEPA's service area is rural and consists of smaller communities.

...

Read more
Posted December 18, 2019 by lgonzalez

The USDA's ReConnect Program to expand broadband in rural areas has been awarding funding for several weeks now; electric and telephone cooperatives have received significant awards. In North Carolina, Atlantic Telephone Membership Corporation (ATMC) recently learned that their application for ReConnect funds has been granted and the cooperative will receive $7.9 million toward expanding their Fiber-to-the-Home (FTTH) service.

Celebrating in Columbus County

Cooperative CEO and General Manager Keith Holden, USDA State Director for North Carolina Robert Hosford, and Chief of the Waccamaw Siouan Tribe Michael Jacobs gathered at the Tribe Headquarters in Bolton to announce the award and discuss the project. ATMC will match the USDA grant with an additional $7.9 million, rather than take a loan from the ReConnect program. The total cost of the project is around $15.87 million and will deploy FTTH to more than 2,700 premises, including homes and more than 50 businesses. The infrastructure will also serve three critical community facilities, ten educational facilities, and 23 agricultural operations in northern Columbus County. 

At the event, Hosford noted that better connectivity will help agricultural establishments in the region, one of the main sectors of the local economy. 

“The health and vibrance of rural communities most usually is from farmers and forestry in this state,” Hosford said. “If those small communities are healthy, that means their farming communities are healthy, and this is just another tool in our toolbox to help these rural communities.” 

Hosford said the agriculture industry has struggled in recent months due to ongoing trade disputes, so any boost is a welcome one.

ATMC will use the funding to build out to Tabor City, Hallsboro, Lake Waccamaw, Bolton, and areas north of Whiteville.

Other Grant Sources 

The co-op is adding the ReConnect grant to other funding it received in 2019, including a $1 million award from the state. Funding came from the NC...

Read more

Pages

Subscribe to cooperative