Tag: "lease"

Posted April 10, 2019 by christopher

For several years now, Tacoma, Washington, has pondered the fate of its Click! municipal open access network. In the spring of 2018, the community issued an RFI/Q searching for interested private sector partners that would lease the network from the Tacoma Power Utility (TPU). After reviewing responses, consulting experts, and comparing potential arrangements, Tacoma has narrowed the field of possible partners. The goal is to put the network on a sustainable and competitive footing both financially and technologically. Tacoma is following a path that will retain public ownership of the Click! network as the network continues to expand.

Click! has offered considerable benefits during its lifetime, but the network retains considerable debt even as it will soon require more upgrades to continue competing with Comcast. The cable television system is rigged against small operators and while the open access Internet side creates many benefits, Click!’s ISPs just don’t have enough subscribers to make the network financially viable into the future.   The discussion around Click’s finances are complicated because the broadband network is used for both external customers and internal utility uses -- the rate modeling around how to allocate costs is a process that requires subjective analysis (e.g. should the costs be allocated based on bandwidth or evenly split among each service). Some have credibly accused past TPU officials with cooking the books to make Click!’s financial status worse than it actually was. Nevertheless, Click! still doesn’t appear to be financially sustainable when costs are allocated more reasonably. Given the upgrades needed by the cable system, we fear that preserving the status quo will do more harm than good to the community over the medium and long terms; Tacoma needs to make a change to avoid being stuck solely with the broadband monopolies that plague the rest of us.

logo-click.png Opponents have labeled the current proposal to lease the network as “privatization.” ILSR strongly disagrees. The options being considered by Tacoma will ensure public ownership - the lease to a partner is no more privatization than allowing independent service providers to...

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Posted March 28, 2019 by lgonzalez

Lenoir City, Tennessee, has actively explored options for broadband for about ten years. After briefly considering broadband over power lines, the Lenoir City Utilities Board (LCUB) decided the time wasn’t right for the utility to offer Internet access to the public. The LCUB, however, is making a move to to open its fiber loop assets to potential partners, hoping to improve service for people in Lenoir City and surrounding areas.

Dark is the Way to Go

At their March 18th meeting, the LCUB members unanimously voted to accept proposals from private sector companies interested in leasing excess capacity on the utility’s fiber loop. According to LCUB general manager Shannon Littleton:

“There’s 80-85 roughly miles of 228-count fiber that’s around the perimeter of our system….We’re utilizing a small percentage of it right now. We plan on using a larger percentage of it in the future. We sat down as a group and decided there’s potentially 100 pair or 200 pair of fiber ... depending on what the board says, that we could put out to the marketplace for a period of time until the electric department decides to take it back for its own use.”

LCUB has already received requests to lease fiber on the network, suggesting potential competition and better options for folks in the rural areas of the LCUB service area. AT&T and TDS Telecom are incumbents with Lenoir City, but in the areas outside of town wired Internet access is difficult to come by.

Feasibility Results

LCUB deployed the fiber ring approximately three years ago for electric utility use, but has since hired a consultant to complete a broadband feasibility study with the asset in mind. The study estimated that Fiber-to-the-Home (FTTH) for all of LCUB service area premises would cost approximately $127.5 million. While it’s clear that people in rural areas of LCUB territory are lacking options, the more densely populated communities have fiber service from private sector providers. According to Littleton, approximately 13,000 customers are situated within a quarter-mile of the fiber optic ring and LCUB...

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Posted February 22, 2019 by Katie Kienbaum

Hilliard, Ohio (pop. 36,000), is moving forward with plans to deploy a carrier neutral dark fiber network after city council approved funds for the project last month. The 25-mile fiber network will connect government buildings and businesses in the Columbus suburb and will be capable of speeds up to 100 Gigabits per second, reports Columbus Business First. Officials hope that improving Hilliard’s broadband infrastructure will help the community attract and retain businesses, encourage local economic development, and reduce municipal connectivity costs.

Deployment Details

During the first phase of the project, Hilliard will run fiber to municipal buildings and local businesses. The carrier neutral network will connect to the Metro Data Center in nearby Dublin, Ohio (home to DubLINK), giving the city government and businesses access to a wide selection of providers, who will have the ability to lease fiber from the city. In the future, the network could expand to serve other entities, such as local schools. The city does not plan to connect residents.

The total cost of the network’s initial phase is $3.17 million; to fund the fiber rollout, Hilliard City Council set aside $2.9 million in January as part of the city’s capital improvements budget. This included a $1.25 million loan from the Franklin County Infrastructure Bank, which has also invested in two similar projects, including Grove City. Hilliard Economic Development Director David Meadows said that the remainder of the funding comes from a conduit and traffic signal project that was approved in the city’s 2018 budget.

Economic Benefits for the City

Like many communities, the city of Hilliard is investing in a municipal fiber network to strengthen and grow the local economy. Currently, the community’s limited options for Internet access pose a concern to prospective companies. “We’ve had some businesses...

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Posted December 11, 2018 by lgonzalez

As they look back over their accomplishments, the Roanoke Valley Broadband Authority (RVBA) has more than the holidays to celebrate at the close of 2018. In addition to stimulating competition in the region, the RVBA network is attracting more investment and helping local nonprofits operate more efficiently.

Dual Purpose

For Feeding America Southwest Virginia in Salem, connectivity from RVBA is critical. “Without that Internet connection reliability, it would be very difficult for us to achieve our mission,” says IT Director Eric Geist. The food bank is one of the enterprise customers that the RVBA serves in the region, providing affordable access to organizations and institutions such as nonprofits, businesses, and institutions.

By providing affordable connectivity and services focused on the needs of businesses, the RVBA network has helped drive competition in the region. According to CEO Frank Smith’s research, prices have dropped 25 - 30 percent. The change squares with the RVBA mission to enhance and promote economic development by improving connectivity services and prices in Salem, Roanoke, and the counties of Roanoke and Botetourt. They've seen results in the past three years with greater expectations ahead.

The History

Before the network, the valley was caught in a connectivity “donut hole.” The populations in Salem and Roanoke had access to some cable Internet access and were large enough to prevent the region from obtaining grants to entice providers to upgrade. In 2013, local governments decided to work together to improve connectivity and funded a feasibility study, which recommended an open access network.

roanoke-valley-va_1.jpg Botetourt and Roanoke Counties were indecisive about their commitment to the project, but the cities of Salem and Roanoke pushed ahead. Salem, with its own electric utility, already had some fiber infrastructure in place, which lowered the cost of the...

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Posted September 20, 2018 by Katie Kienbaum

The mayor doesn’t usually show up at your house when you switch to a new Internet service provider, but for Erin and Isaac Herman of Centennial, Colorado, that’s exactly what happened. In early September, they became the first official Fiber-to-the-Home (FTTH) subscribers in Centennial when Internet service provider (ISP) Ting connected their home with fiber optic lines. An event held at their house brought together community members and local officials to celebrate the “lighting” of the fiber line, a culmination of years of hard work by the city to develop a publicly owned dark fiber network.

To provide Internet access, Ting leases strands of Centennial’s open access fiber network, constructing its own lines to connect homes and businesses to that backbone. The Herman family and other subscribers now have superior connectivity as a result of the investments made by both their local government and the private company.

Plans for households range from 5 Megabits per second for $19 per month to symmetrical gigabit speeds for $89 per month. Centennial residents can pre-order on Ting’s website.

Fifth “Ting Town” on the Map

Ting operates fiber networks in five U.S. cities. In addition to Centennial, Ting delivers fast, affordable, reliable connectivity to subscribers in Charlottesville, Virginia; Holly Springs, North Carolina; Sandpoint, Idaho; and Westminster, Maryland.

When discussing why the company chose to bring its services to Centennial next, CEO Elliot Noss explained that the city “has a lot of the characteristics that we look for,” including size, demographics, and desire for better connectivity. “Centennial is really unique,” he continued, “in terms...

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Posted April 27, 2018 by lgonzalez

Nestled along the south eastern border of Maine are Baileyville and Calais. As rural communities situated next to Canada in the state's "Downeast" region, neither town is on a list of infrastructure upgrades from incumbents. With an aging population, a need to consider their economic future, and no hope of help from big national ISPs, Baileyville and Calais are joining forces and developing their own publicly owned broadband utility.

Baileyville and Calais

There are about 3,000 residents in Calais (pronounced "Kal-iss") and 1,500 in Baileyville, but according to Julie Jordan, Director of Downeast Economic Development Corporation (DEDC), many of those residents are aging and younger people find little reason to stay or relocate in Washington County. The community recognizes that they need to draw in new industries and jobs that will attract young families to keep the towns from fading off the map.

Most of the residents in the region must rely on slow DSL from Consolidated Communications (formerly FairPoint), while a few have access to cable from Spectrum (formerly Time Warner Cable); expensive and unreliable satellite is also an option and there's some limited fixed wireless coverage in the area. A few larger businesses that require fiber optic connectivity can find a way to have it installed, but Julie tells us that it's incredibly expensive in the area and most can't afford the high rates for fiber.

Economic Development Driven

logo-baileyville-me.png Organized in 2015, the nonprofit DEDC came together with the focus on recruiting new businesses to the area and to support existing businesses. As DEDC quickly discovered, unless the region could offer high-speed, reliable Internet infrastructure, attracting new businesses and helping existing businesses expand would be extremely difficult. They also determined that new families would not be interested in Baileyville or Calais without high-quality connectivity. "It was a no-brainer," says Julie, "you have to go fiber."

One of the largest regional employers, Woodland Pulp, need fiber in order to operate and as Julie describes, "they pay up the nose" for connectivity. All their equipment is computerized and they...

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Posted April 5, 2018 by lgonzalez

In March, Washington state legislators passed HB 2664 and sent it on to Governor Jay Inslee, who signed the bill on March 22nd. In the Port of Ridgefield, where the community has been developing plans for a dark fiber network, the community had advocated for the change. Now that the law will be changing for the better, they’re ready to pursue the partnerships they need to spur economic development and improve connectivity for residents and businesses.

Not A New Idea In The Port Of Ridgefield

Back in 2016, we reported how town officials from the Port of Ridgefield had already started setting aside funds to invest in a 42-mile dark fiber loop. The quality of residential and business Internet access options in the community depended on where a premise was located. The community’s Vice President of Innovation Nelson Holmberg described connectivity in the Port of Ridgefield as a “mixed bag”.

The port already had some fiber in place, as many do for communications between facilities and other uses, and port officials wanted to integrate those assets into the design of the new infrastructure. At the time, state law would only allow "rural" ports to use their fiber in any partnership agreements designed to offer connectivity to people or entities outside of the port districts. The Port of Ridgefield did not qualify as "rural". After advocacy from officials from the Port of Ridgefield and other ports around the state, legislators passed HB 2664, which amends the law to remove the restriction. All ports will soon be able to enter into wholesale arrangements with ISPs interested in leasing dark fiber to offer telecommunications services to the public.

Big Plans In Ridgefield

logo-port-ridgefield.png Last fall, the community in Clark County received a $50,000 grant from Washington’s Economic Revitalization Board, which they used to complete a feasibility study. There are approximately 7,...

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Posted January 2, 2018 by lgonzalez

Most residents and businesses in Oconee County, South Carolina, used dial-up connections when county officials applied for stimulus funding in 2010; there were still people in the county with no Internet access at all. A few had DSL connections, but even county facilities struggled with antiquated infrastructure. After an AT&T attack upended their plan to offer retail services, they pressed on and improved connectivity in the rural community. Powerful incumbent forces and a bad state law, however, eventually led this community to choose privatization.

Ripe For Stimulus

We spoke with Kim Wilbanks, who served as Project Manager for Oconee FOCUS, the 240-mile fiber optic publicly owned network. She worked with a small team of people that applied for funding through the American Recovery and Reinvestment Act (ARRA) to obtain funds for the project. Wilbanks and former FOCUS Director Mike Powell were instrumental in establishing the infrastructure. The Wilbanks family used dial-up Internet access until 2010 when AT&T finally installed DSL on her street on the edge of town in the mostly rural county.

The mountains and hills across the county’s 674 square miles create a terrain that is speckled with man-made lakes. Fishing, water skiing, and sailing are popular and the lakes and waterfalls contribute to the region’s hydroelectric energy. Approximately 75,000 people live in Oconee County scattered within many of the small rural communities. The largest city’s population is only about 8,000.

Oconee County’s rural environment with a sparse population, sluggish economic growth, and high number of unserved and underserved premises, was the type of region where stimulus funds helped jump start projects. When the county received a grant in the second round of awards in the summer of 2010 for $9.6 million, officials at the county planned to connect community anchor institutions and municipal and county facilities first. They planned to later expand and bring businesses and residents better Internet access. The county matched the federal grant with $4.7 million to deploy the $14.3 million fiber optic infrastructure. After the RFP process, they were able to start construction in early 2011. By the end of 2013, they had finished construction; by 2014...

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Posted October 24, 2017 by lgonzalez

With the best intentions, Kentucky announced in late 2014 that it would build out a statewide open access fiber optic network to at least one location in each county to encourage high-quality connectivity in both urban and rural communities. Hopes were high as rural residents and businesses that depended on DSL and dial-up envisioned connectivity to finally bring them into the 21st century. After almost three years and multiple issues that have negatively impacted the project, legislators and everyday folks are starting to wonder what's in store for the KentuckyWired project. 

Local Communities Are Best Suited To Deploy Community Networks

There is no one-size-fits-all method of deploying across a state filled with communities and landscapes as diverse as Kentucky. From the urban centers like Louisville and Lexington to the rocky, mountainous terrain in the southeastern Appalachian communities, demographics and geography vary widely. But most lack modern Internet access and local ISPs have found it hard to get affordable backhaul to connect to the rest of the Internet.

There are several municipal networks in Kentucky, some of which have operated for decades. In addition to Glasgow, Paducah, Bowling Green, Frankfort, and others, Owensboro is currently expanding a pilot project that proved popular. As our own Christopher Mitchell discussed at the Appalachia Connectivity Summit, several cooperatives have made major fiber-optic investments in the state.

When it comes to connecting residents and local businesses, we strongly believe local entities are the best choice. Local officials have a better sense of rights-of-way, the challenges of pole attachments, and the many other moving pieces that go into network investment. Projects with local support see fewer barriers - people are more willing to grant easements, for instance. 

As a state, building an open access fiber network into each county makes sense. States also need to connect their offices, from public safety to managing natural resources and social services. Rather than overpay a massive monopoly like AT&T...

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Posted September 12, 2017 by lgonzalez

Folks living in the Boxley Building in downtown Roanoke will soon have the choice of the community’s first Fiber-to-the-Home (FTTH) Internet access delivered by publicly owned infrastructure. The Roanoke Valley Broadband Authority (RVBA) recently announced that one of the ISPs using the fiber has decided to expand its services to residential premises in the building.

Fulfilling The Purpose

“This goes back to the core, as far as why this was formed,” broadband authority President and CEO Frank Smith said. “To create a network that other players can come in and use. We’re doing what we set out to do.”

ABS Technology is based in Virginia Beach and has an office in Roanoke. The company is starting with the single apartment building but told the Roanoke Times they may offer last mile services to more Roanoke residential subscribers in future. ABS regional sales manager Greg Henderson said that the RVBA infrastructure enabled ABS to develop the project. Without it, he said “there is no way” the company would have been able to pursue a residential build out.

Better Connectivity, Better Community

RVBA provides several options for local businesses, including dark fiber, data transport, and Internet access. ISPs such as ABS lease fiber to serve local businesses and large institutions with the expertise to manage their own networks. The resource is helping to reinvigorate Roanoke and the surrounding community.

Earlier this year, RVBA connected a business accelerator downtown aimed at attracting and keeping talent at home. The project is a collaboration between the city, the Virginia Western Community College, and the Roanoke-Blacksburg Technology Council. The city renovated an old historic building, the college will be offering business courses there, and the council will develop mentoring and networking opportunities for entrepreneurs who fill spaces at the incubator.

The Roanoke Valley has faced some tough times and the RVBA network is helping to stimulate economic development. The area had a reputation as a funding and...

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