Tag: "cooperative"

Posted February 15, 2015 by lgonzalez

A recent USDA report reveals that fossil fuels are not the only thing booming in North Dakota. The state ranked 47 for population is ranked number 1 as having the highest percentage of people with access to FTTH. 

According to a Telecompetitor article, their status can be attributed to an abundance of rural cooperatives and small telecom companies. These local providers have made it their business to fill the gaps left behind by large corporate ISPs that cannot justify investing in rural deployment. Given that most of North Dakota is rural, approximately 96% of the state is served by these smaller providers. The State Broadband map shows a total of 41 providers, including 17 cooperatives and 24 privately owned providers of varying size.

Another advantage to rural status? These cooperatives and small providers have qualified for USDA programs aimed at improving connectivity in sparsely populated regions. The report notes that the USDA has invested $338 million in grants and loans in North Dakota through its various telecommunications programs. 

The report also profiles the importance of the Dakota Carrier Network (DCN), a collaboration among many of the rural providers that criss-crosses the state with 1,460 miles of fiber backbone. The full report is available for download [PDF].

In 2012, we shared the story of the extensive network deployed by Dickey Rural Network (DRN) and Dakota Central Telecommuncations (DCT) cooperatives. DCT has produced a video about the benefits of the collaboration:

Posted February 9, 2015 by lgonzalez

Green Isle and nine other communities have reaffirmed their commitment to the RS Fiber Cooperative, reports the Belle Plain Herald. The project began in 2010 as a collaboration between a number of local county and municipal government entities in south central Minnesota. Local residents rallied behind the project, which was designed to connect both towns and surrounding farms. 

Unfortunately, the project faced difficulties due to incumbent intimidation and the high cost of deployment in such a large geographic area. Sibley County officials chose to back out of the project, requiring a business plan reboot. Locals, recognizing the critical need for better connectivity chose to instead form the RS Fiber Cooperative.

The Herald reports that in its first 2015 City Council meeting, Green Isle voted 3 - 1 in favor of a resolution stating continued support to the project. Similar resolutions have passed in Winthrop, Gibbon, Fairfax, Lafayette, Gaylord, Stewart, New Auburn and Brownton. 

Henderson and Arlington, located in Sibley County, have opted to not participate in the coop. 

Coop Directors endorsed an updated business plan in November, reported Prairie Business Magazine. The project will bring better connectivity options to approximately 6,200 customers in Sibley County, parts of Renville County, and portions of Nicollet and McLeod Counties. The revised business plan, scaled back from the original plan to bring fiber to every property in Sibley and Renville Counties, reduces project costs by more than 30 percent.

Participating communities will collectively issue $13.7 million in general obligation bonds. Local investors, bank loans, and other financing will provide the remaining $42 million. The project is scheduled for completion in 2018.

Phil Keithahn, RS Fiber Coop financial planner, told KEYC Mankato that the network will have triple-play capabilities, bringing Internet, phone, and video to remote rural areas. Community leaders are motivated by the need to improve connectivity for agriculture, tele-medicine, and education.:

"It...

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Posted February 8, 2015 by rebecca

The mayors of 38 US cities came out this week to let the FCC know they want the authority to build high speed Internet networks. Jon Gold with Network World covered the story and reminded readers of the more heavy-handed tactics of our Comcast and TWC. 

Three U.S. senators introduced a Community Broadband Act this week. Mario Trujillo with The Hill reported that the bill would forbid state and local governments from “creating a ‘statute, regulation, or other legal requirement’ that bars communities from creating their own municipal broadband network.”

Kate Cox with the Consumerist broke it down:

“In other words, the Community Broadband Act makes it legal for a town to start a network and illegal for the state to stop them, but doesn’t provide any assistance for towns who want to build networks. It simply gives them the opportunity to pursue their own funding. To that end, the bill specifically encourages public-private partnerships.”

Henry Grabar with Salon wrote about the ideological debate that is “taking the country by storm.” 

Broadband Definition

Jon Brodkin with Ars Technica wrote about the FCC decision to raise the definition of broadband speed: “Tons of AT&T and Verizon customers will no longer have ‘broadband’ tomorrow.” This after the FCC upped the definition of broadband from 4 Mbps to 25 Mbps download speed. 

Under the proposed definition of 25Mbps down and 3Mbps up (which is opposed by Internet providers), 19.4 percent of US households would be in areas without any wired broadband providers. 55.3 percent would have just one provider of “broadband,” with the rest being able to choose from two or more. Rural areas are far...

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Posted January 26, 2015 by lgonzalez

Eleven Select boards in Franklin County are ready to take the next step with WiredWest Cooperative. According to the Recorder, the towns of Ashfield, Charlemont, Colrain, Hawley, Heath, Leyden, New Salem, Rowe, Shutesbury, Warwick and Wendell have all approved nonbinding resolutions taking them into the financial planning phase.

Last fall, the organization and the Massachusetts Broadband Institute (MBI) agreed to meet on a regular schedule. The two organizations began meeting with town Select Boards in order to update them on financial obligations to help them decide whether or not to participate.

WiredWest Cooperative has worked with The Western Massachusetts Legislative Delegation On The Last Mile Broadband Solution to create a strategy to improve connectivity statewide. In addition to WiredWest, the group included MBI, the Franklin Regional Council of Governments (FRCOG), and the Mass TechCollaborative. Several state lawmakers, including Senator Stan Rosenberg, participated in the delegation.

The state will supply approximately $40 million in grant funding to MBI, that will disburse the funds, to defray the costs of deployment in hill towns. The Recorder reported:

[Monica] Webb, [speaking for WiredWest Cooperative] said the first thing town officials want to know is how much of that $40 million grant will be available to reduce their town’s share of the cost.

“The first step was to determine which towns want to participate,” said Webb. “Now that we know, there’s detailed engineering to be done. ... The numbers the towns will get will be our best estimate. We’re still refining our best estimates, but I...

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Posted January 8, 2015 by lgonzalez

Minneapolis, MN —In 2010 the Minnesota legislature set a goal: universal access to high speed broadband throughout the state by 2015. As 2015 approaches we know that large parts of Greater Minnesota will not achieve that goal, even as technological advances make the original benchmarks increasingly obsolete.

But some Minnesota communities are significantly exceeding those goals. Why? The activism of local governments.

A new report by ILSR, widely recognized as one of the most knowledgeable organizations on municipal broadband networks, details the many ways Minnesota’s local governments have stepped up. “All Hands On Deck: Minnesota Local Government Models for Expanding Fiber Internet Access” includes case studies of 12 Minnesota cities and counties striving to bring their citizens 21st century telecommunications.

  • Windom, which is one of the most advanced networks in the state, built their own network after their telephone company refused to invest in their community.
  • Dakota County showed how a coordinated excavation policy can reduce by more than 90 percent the cost of installing fiber.
  • Lac qui Parle County partnered with a telephone cooperative to bring high speed broadband to its most sparsely population communities.

Read how these and other communities took control of their own connectivity and their community vitality. Some did it alone while others established partnerships; each chose the path they considered the best for their own community.

Posted December 15, 2014 by rebecca

This week in Community Broadband networks... partnerships, cooperatives, and going-it-alone. For a background in muni networks, check out this recent article from FiscalNote. The article highlights Kansas and Utah's fight for improving beyond the minimum speeds. 

Speaking of minimum, the FCC announced its new "rock bottom" for regulated broadband speeds. Ars Technica's Jon Brodkin reports that despite AT&T, Verizon, and the National Cable and Telecom Association's protests, ISPs that use government subsidies to build rural broadband networks must provide speeds of at least 10 Mbps for downloads.

Rural Americans should not be left behind those who live in big cities, the FCC announcement today said. "According to recent data, 99 percent of Americans living in urban areas have access to fixed broadband speeds of 10/1, which can accommodate more modern applications and uses. Moreover, the vast majority of urban households are able to subscribe to even faster service," the FCC said.

The FCC plans to offer nearly $1.8 billion a year to carriers willing to expand service to 5 million rural Americans. 

This is a step in the right direction, but we are alarmed to see a download:upload ratio of 10:1. People in rural areas need to upload as well as download - our comments to the FCC strongly recommended raising the upstream threshold as well and we are very disappointed to see that remain a pathetic 1 Mbps.

And, from TechDirt's own "who can you trust if you can't trust the phone company department," Karl Bode found that a study by the AT&T-funded Progressive Policy Institute concluded that if Title II regulations were passed, the nation would be "awash in $15 billion in various new Federal and State taxes and fees. Bode writes that the study cherry-picked and conflated data:

The reality the broadband industry doesn't want to acknowledge is that very little changes for it under Title II if carriers aren't engaged in bad behavior. The broadband industry is...

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Posted October 15, 2014 by tanderson

There was some good news at the end of August in Georgia, just in time for the new school year: a fiber optic network spanning 3,600 miles and potentially tying together up to 330 schools with 10 gigabit connections was announced. Dubbed the “Education Exchange,” the network is the product of an agreement between the rural cooperative North Georgia Network (NGN), private cable provider ETC Communications, and a private fiber optic ISP and infrastructure company called Parker Fibernet. Each of these three carriers’ existing fiber optic assets will provide a piece of the network, and all are connected to each other and to the broader internet in Atlanta.

While formed through a partnership of cooperative and private providers, the network will be governed by the schools themselves, which are spread throughout 30 different counties and reach across the northern third of the state, from the western border with Alabama to the eastern border with South Carolina. Both public and private schools will be able to connect. 

The new network should allow schools to realize some significant cost savings from replacing phone lines with VOIP and dropping slower leased data connections. More interesting, however, are the educational and administrative applications of such fast direct connections: video conferencing for teachers and administrators between and within school districts; accessing bandwidth-intensive online educational materials; expanding access to wi-fi devices throughout schools; and pooling purchasing power of many districts to get discounts and expanded digital course content.

How each district and each school use the network will be up to them, but the possibilities are considerable. Some of the early schools that beta tested the network have already experimented by hosting real time virtual music collaborations between schools. Paul Belk, NGN’s CEO, described the motivations driving his cooperative to establish the network: 

“The strength of our communities, our economy, and workforce all starts in our schools...as a community-owned company, it’s our job to give back and use our resources to better the next generation.”

NGN has been connecting business parks,...

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Posted October 2, 2014 by lgonzalez

Burlington Telecom customers love their local muni. Throughout the community's political, legal, and financial challenges, residents and businesses have rallied behind the ability to control their access locally. As part of their efforts to educate the community, Code for BTV and Keep BT Local brought Chris to town to discuss community ownership. The video of his presentation is now available online at Burlington's Town Meeting Television.

Chris discussed a variety of community ownership and said of Burlington:

"When it comes down to getting community support to raising capital and understanding the value of a cooperative, Burlington's about the best place in the country to be trying to do that."

Keep BT Local began officially organizing in late 2012. Their goal is to transform the municipal network into a cooperative structure on order to protect local interest in the service. The gigabit network has won awards, partnered with local nonprofits to improve digital inclusion, and offered local services such as computer repair, setting it apart from the distant corporate providers with no interest in local communities.

No wonder Burlingtonians want to keep their network! This is an informative conversation that touches on a variety of topics including how to fire up potential cooperative members, strategies to entice community anchors, and promoting the unique characteristics of a local network.

The video runs about one hour and twenty minutes.

 

Posted August 18, 2014 by lgonzalez

Members of the Burlington community are hosting a luncheon on Friday, September 19th, to discuss ways to help keep BT local. Chris, as one of the leading experts on municipal broadband, will be leading the discussion. We have followed BurlingtonTelecom's challenges and victories since 2008.

The event is titled "How Do We Keep Burlington Telecom Local?" and will be at the CCTV Center for Media & Democracy in Burlington. From the announcement:

Many Burlington residents and activists are concerned about the City of Burlington’s plans to sell Burlington Telecom to a private entity by 2017. While the City is committed to BT as a driver for economic and community development, it currently has no specific plans to retain a meaningful ownership stake in the new entity. 

The event is part of a series of community talks aimed at maintaining public input as the City prepares to move forward. 

A free discussion will begin at 11 a.m.; it will be followed by lunch for $15. You can now register online. For those who want to learn more about the network and keep up on the latest developments, CCTV of Vermont has put together a resource page detailing upcoming steps with news coverage, video, and court documents. 

Posted July 30, 2014 by tanderson

Wabash County, Indiana wants to expand its access to high speed internet through a fiber optic network build out, and is planning to use a distinctive financial tool to do so. The Wabash County Redevelopment Commission has begun the process of assigning a special Economic Development Area designation for the purpose of helping to finance new fiber deployment through parts of the mostly rural county of 33,000 people.

Tax Increment Financing (TIF) is a method of public financing that uses future gains in property or sales taxes within a defined area to subsidize a redevelopment or infrastructure project. A local jurisdiction can borrow money up front, build the project, and then use the increased tax receipts it generates to pay off the debt over a period of years. The concept is actually pretty simple: capture the value that something will have in the future to build it now.

TIF  has been a popular approach among local politicians around the country for decades as a way to work around tight budgets and finance improvements in blighted areas, often in the form of public infrastructure. It has sometimes drawn criticism, especially in cities like Chicago where it is very heavily used. One downside is that it effectively takes properties off the general tax rolls. 

More important for our purposes, however, is that the use of TIF for next generation fiber optic networks is a fairly new phenomenon. While municipal networks around the country have used a wide range of financing approaches to cover upfront costs, most have revolved in some way around bonds that are repaid from network revenue. Using TIF to capture the increased property value that a fiber optic network would create is an interesting approach.

In the case of Wabash County, it’s not yet clear exactly how the funds would be used. There is a local private incumbent provider, Metronet, which received $100,000 last year to match its own $1 million investment to bring fiber to a town on the north edge of the county. The county also has a cooperative utility (Wabash County REMC) that provides power and telephone services in rural areas and has expressed interest in using TIF to build out a fiber network. Whichever entity ultimately receives TIF money, it does not appear that...

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