Tag: "utility"

Posted October 27, 2015 by ternste

In mid-September, Hudson, Ohio launched its Velocity Broadband service, bringing 1 gig connectivity to a large business complex. The commercial site is the first in series of industrial areas where the city officials plan to bring the network in the coming years. The community, located near Akron, hopes to eventually bring Velocity Broadband to residential areas.

The network is already exceeding expectations. Less than a month after the initial network launch, City Manager Jane Howington said local officials expect to surpass their goal of 50 customers by the end of 2015:

"It's moving faster than we thought," said City Manager Jane Howington. "Demand has been much greater than we thought."

Merchants are embracing Hudson’s new status as a “Gig City,” offering “Giga Specials” during the month of October and the city’s mayor declared October “Gigabit City Month.”

According to the city’s Broadband Needs Assessment, Hudson is building the network in response to significant problems with the city’s existing broadband options. Small and medium sized companies complained to the city’s consultants on the network that they have “learned to live with” problems of poor reliability, performance, and affordability of the city’s broadband services. They said even the best available broadband service options over DSL and cable are inadequate and negatively affect their ability to do business.

City officials plan to continue rolling out access to the city’s downtown area next year and to other business areas soon after. Although the city of 22,500 has no timeline on residential service, city officials have expressed the intent to eventually bring the fiber optic network to every home.

We first reported on Hudson's plans in July 2014 when the community began exploring the idea of using fiber from its existing I-Net to serve local businesses. Hudson will deploy incrementally with its own public power utility crews...

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Posted October 22, 2015 by ternste

At a September meeting, the City Council in Peachtree City, Georgia unanimously approved a resolution to construct and operate a fiber-optic broadband network.  According to the City Council minutes from the meeting, the initial 22.54-miles of fiber will provide 1 Gbps broadband access to various facilities in the City Service area.

In addition to providing connectivity for government buildings, utility services, and medical and educational buildings, the city will target business customers in the “high end user category.”

Officials estimate the network will cost $3.23 million. To pay for the project, the Peachtree City Public Facilities Authority, an independent local government authority created by the state legislature in 2011, will enter into an intergovernmental agreement with Peachtree City. According the August 2015 Fiber Initiative plan, capital for the project will come from the Authority; the city will issue a bond and pay installments to the Authority under an Agreement of Sale.

For several years now, the city located 30 miles southeast of Atlanta has explored options to improve local connectivity. City leaders tried and failed to bring Google Fiber to the community of 35,000 people in 2010. The city attempted repeatedly to urge private ISPs like AT&T to address the problem with no success. In February of this year, city leaders began work on a study to explore the feasibility of a publicly owned fiber network.

City Council members citizens at the recent City Council meeting expressed concerns that the network will not pay for itself and taxpayers will be left to cover unpaid costs. According to a recent survey of local businesses, 100% of respondents reacted positively to the prospect of a municipal network for connectivity.

In order to achieve the plan’s objectives, the network will need 12 “high-end” commercial customers by the end of year 2.  The city’s consultant expressed confidence in meeting that first goal:

“If we had a different experience, I would be standing up here in front of you saying 12 is going to be a stretch. However, we found exactly the opposite to be the case,” said Davis. “I was amazed by that. It’s a surprise to me that the...

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Posted October 21, 2015 by lgonzalez

Communities along Mississippi's Gulf coast have recently suffered through disasters both natural and not, from Hurricane Katrina to BP's Deepwater Horizon blowout and aftermath. But they are investing some of the relief funds into infrastructure of the future to help recover. 

Biloxi and Gulfport city officials recently passed resolutions approving an intergovernmental agreement to bring better connectivity to Mississippi Coastal communities. The vote was the next step in the Mississippi Gulf Coast Fiber Ring initiative announced this summer by Biloxi Mayor Andrew "FoFo" Gilich to encourage municipal networks in the region.

The agreement will establish the Gulf Coast Broadband Commission, a public utility  charged with deploying, operating, and maintaining a fiber optic network in and between the two cities. The agreement also specifically grants the Commission the ability to seek out financing to perform its function. Other municipalities and counties can join the agreement as members after the Commission is established.

If other local governments want to participate, they must agree to minimum standards for expansion. Members must promise to offer symmetrical gigabit connectivity, commit to serve every residence and business within a community within 7 years of joining, agree to offer free public Wi-Fi, and require ISPs using the infrastructure to have a local customer service presence. The agreement requires state approval before it is finalized.

In July, Mississippi Governor Phil Bryant pledged $15 million to the project from the fund created by the Restore Act. The Act establishes how the state will disburse $2.2 billion paid by British Petroleum as fines for the Deepwater Horizon disaster in 2010. Biloxi settled with BP in a separate suit, accepting approximately $5 million and is considering directing at least some of those funds toward municipal fiber deployment.

In addition to Deepwater Horizon, the area never fully recovered from Hurricane Katrina. The region has lost...

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Posted October 15, 2015 by lgonzalez

Chattanooga's EPB Fiber Optics now offers 10 gigabit Internet service to all households and businesses in its service area. The ultra-fast service is available for $299 per month with free installation, no contracts, and no cancellation fees, announced community leaders at a press conference on October 15th.

In addition to 10 gig service, EPB is also offering "Professional" products available in 3 gig, 5 gig, and 10 gig for large businesses. Smaller businesses have the option of choosing 5 gig or 10 gig Internet products. According to the press release, prices on all the new products vary.

Since the network was launched in 2010, Chattanooga has transformed from one of the "dirtiest cities in America" to a haven for the entrepreneurial culture. Chattanooga experienced explosive economic development leading to thousands of new jobs, substantial public savings due to the network's smart grid capabilities, and new educational opportunities for students and workforce development.

From the press release:

Chattanooga’s fiber optic network has produced tangible results. A study recently released by University of Tennessee at Chattanooga Finance professor Bento Lobo shows “the Gig Network” helped the Chattanooga area generate at least 2,800 new jobs and at least $865.3 million in economic and social benefits. The study also found the EPB smart grid, which is the cornerstone application of the utility’s community-wide fiber optic network, has allowed customers to avoid an estimated 124.7 million minutes of electric service interruptions by automatically re-routing power (often in less than a second) to prevent an outage or dramatically reduce outage durations.[read the study here

The city created a standard other communities strive to achieve; we often see communities aiming for the $70 gigabit price point offered by EPB. As a leader for...

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Posted October 14, 2015 by lgonzalez

Plans for a fiber network collaboration between the city, school district, and county will save hundreds of thousands of dollars in Stormlake, Iowa. The school district recently voted to take advantage of significant savings for connectivity by switching to the publicly owned infrastrucutre as soon as the network is ready.

The Storm Lake Pilot recently reported that under the current contract with Vast Broadband, the district pays $7,500 per month to lease two strands of fiber. The new arrangement will allow the district to lease 12 fibers from the city-owned network for $14,000 per year or $1,167 per month - a reduction of approximately 85 percent. The city and the school district will enter into a 10-year agreement to ultimately save the district a total of $760,000 or approximately $6,333 per month during the term of the lease.

The school will still need to pay for Internet access and as part of the agreement will be responsible for purchasing its own equipment. The School Board voted unanimously to approve the agreement.

As we reported in July, the Stormlake project began as a way to better communication between water and wastewater utility facilities but then evolved into a public safety and cost saving initiative. All three entities - Storm Lake Community School District, the City of Storm Lake, and Buena Vista County - anticipate considerable savings and heightened reliability. We expect to report on more public savings as the community uses this valuable fiber asset.

Project costs for the system of conduit and fiber, which does not include hardware, are estimated at approximately $1,374,000 to be shared by all three entities. This first phase of the project is scheduled to be completed by December.

Posted October 5, 2015 by lgonzalez

Owensboro Municipal Utilities (OMU) is now expanding its Fibernet services with a pilot FTTH program to connect residents this fall. There are approximately 500 homes in the selected area where OMU will test out the new venture. People living in the project area can sign-up online.

Businesses in Owensboro have had access to OMUFibernet for data transport since 1999 and in 2014 the utility added VoIP to its commercial product line. The pilot will offer gigabit Internet access to residents, but OMUFibernet has only advertised speeds up to 100 Mbps to business customers thus far, according to the OMU website. Businesses are also able to lease dark fiber, which allows them to have more flexibility with data transport speeds.

The city, home to approximately 58,000 people, is the county seat of Daviess County and sits on the south side of the Ohio River. The entire metropolitan population is over 116,000 people. OMU has offered electric and water service since 1900 and describes itself as the largest municipal electric and water system in the state.

OMU plans to offer three tiers for symmetrical Internet access in the city's Town & Country neighborhood. Gigabit service will be priced at $99.99 per month, 100 Mbps at $69.99 per month, and 50 Mbps at $49.99 per month. All subscriptions will require a $49.99 installation fee. 

Posted September 22, 2015 by lgonzalez

ONE Burbank, the dark fiber network that has provided connectivity for studios since 1997, is bringing a number of benefits to Burbank schools and taxpayers, reports the Burbank Leader. The network is saving public dollars, generating revenue, and providing better connectivity to schools and public facilities.

Five years ago, we reported on Burbank's asset and its primary customers - Hollywood studios. That trend has continued but now the network generates even more revenue. As a result, all electric customers served by Burbank Water and Power save with lower utility bills:

Last year, ONE Burbank generated $3.4 million in revenues for the utility, [General Manager Ron] Davis said in May. That’s compared to roughly $205,000 in 1997 and about $1.5 million five years ago, according to data Davis presented to the City Council.

“The bulk of that [$3.4 million] is all margin and helps keep electric rates down,” Davis said. “[We do] basically zero marketing and collect that margin.”

By connecting city facilities rather than leasing from a private provider, Burbank has all but eliminated past telecommunications expenses, lowering costs by 95% and saving, $480,000 in total thusfar. The school district has saved $330,000 since connecting to ONE Burbank.

ONE Burbank is also providing four times as much bandwidth to the school at a much lower rate that it once paid to the private sector, cutting its costs from $18,000 per year to $9,000 per year.

In August, Burbank Water and Power began using the dark fiber network as backhaul for free Wi-Fi service available throughout the city. There is no service level guarantee but it is open to any device:

“It’s just out there if you can get it,” Ron Davis, the utility’s general manager, told the City Council last week.

The dark fiber has helped retain and attract business, reports city leaders, and they want to continue the current trajectory to bring in high-tech companies and turn Burbank into a "Silicon Beach."

Louis Talamantes, president of Buddy’...

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Posted August 14, 2015 by phineas

On July 21, the City Council of Sun Prairie, Wisconsin passed a resolution to fund construction on a segment of what could become a citywide, high-speed fiber optic project. Construction will take place in the city’s Smith’s Crossing subdivision, parts of Main Street, and the Tax Increment Finance (TIF) District 9/St. Mary’s development area. It is slated to begin in early September and last through December 1, weather permitting, and will cost an estimated $640,000.

The mayor of Sun Prairie, Paul Esser, believes that going through with this project is the correct move for the City. He was recently quoted in the Sun Prairie Star

Moving ahead with the pilot project in Smith’s Crossing is the right way to go. I believe that as an early adopter of this technology we will have an economic development advantage which will attract companies that require this broad bandwidth.

The fiber-to-the-premises (FTTP) construction at Smith’s Crossing is seen as a testing ground for a larger FTTP network construction that would extend 200 miles of fiber and have the potential to connect all of the city’s homes and businesses. Currently Sun Prairie has about 30 miles of fiber. If Sun Prairie can successfully build out this citywide network - costing an estimated $26.7 million for the whole city - it could rival that of Reedsburg, Wisconsin, which began construction on its fiber-to-the-home network in 2003. Reedsburg has seen numerous economic development benefits and has created a considerable amount of community savings from lower prices.

The city of Sun Prairie initially invested in fiber optic technologies in 1999. In that year, the City built a fiber ring for the school system. Rick Wicklund, the manager of Sun Prairie Utilities, estimates the fiber ring will save the school $2 million by 2019. The fiber also runs to about 28 businesses and more than 130 Multiple Dwelling Units (MDUs), according to Wicklund. Now, Sun Prairie Utilities is looking towards residential markets. 

Officials are calling the Smith’s Crossing...

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Posted August 13, 2015 by lgonzalez

Hudson, Ohio's upcoming municipal network, Velocity Broadband, may be serving commercial customers as early as September, reports the Hudson Hub Times. At a July 22nd Rotary Club meeting, Assistant City Manager Frank Comeriato presented details on the plan. The city has no plans to serve residents but once business services are in place, they may consider a residential build out.

The gigabit network, to be owned and operated by the city of Hudson, will be deployed incrementally. Incumbents Time Warner Cable and Windstream serve local businesses but a majority complain of unreliable connections and unaffordable prices in the few places where fiber is available.

Earlier this year, the city conducted a survey and businesses responded:

"They wanted better service and speed," [Comeriato] said. "After only two vendors responded to the city to offer the service, the city decided it could offer the service like it offers public power, water and other infrastructure."

Hudson officials realize that it connectivity is an essential service for economic development and that businesses have no qualms with relocating to places where they can get the bandwidth they need:

"Economic development is 80 percent retention, and Hudson businesses are unhappy with their current service, he added. "They want something like this."

Hudson Public Power has been preparing by training crews to deploy the infrastructure. Like other communities that have recently decided to invest in municipal networks, Hudson will focus only on Internet access and voice.

Earlier this year, the City Council approved the initial $800,000 capital expenditure to begin the deployment. According to Hudson Communications Manager Jody Roberts, the city expects to spend another $1.5 million in 2016 on infrastructure before they light the network, scheduled for 2016.

"We will then determine any additional amounts needed in [future] years, since by then we will be bringing in money in the form of monthly fees from...

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Posted August 4, 2015 by ternste

According to a recent report in the Jackson Sun, the city of Jackson, Tennessee is now the seventh “Gig City” in the state of Tennessee. Jackson Energy Authority (JEA), Jackson’s municipal utility received the special recognition at a January business summit.  The Sun focuses on several existing and expected economic benefits that accompany municipal gigabit connectivity.

“These ultra-fast Internet speeds will help to assure innovation as it relates to the next generation of education, medical care, public safety and economic development,” JEA CEO John Ferrell said.

Ferrell also noted that ultra-fast Internet connectivity benefitted businesses in the Jackson community by allowing them to avoid excess inventory while still being able to provide customers with fast access to physical products when they need them.

"A good example is where an automotive supply company produces a part for a car at one plant — such as an interior headliner — and ships that part to the assembly plant to be installed in the car," Ferrell said. "Many times, this part is produced on the same day at one plant that it is installed at another plant."

Community leaders in Jackson hope their new Gig City status can help them to gain the same kind of economic development benefits that have come to places like Chattanooga, Tullahoma, and Morristown over the past several years. EPB told the Sun:

"The economic impact has been huge," J. Ed. Marston, vice president of the Electric Power Board in Chattanooga, said. "New companies have moved to Chattanooga, and a lot of investors, outside investors, are looking at Chattanooga."

Our report, Broadband at the Speed of Light: How Three Communities Built Next-Generation Networks, delves into Chattanooga’s story. Where communities invest in municipal networks, economic development almost always follows. Check out our Municipal Networks and Economic Development page for more examples.

The State of Tennessee now has nearly 200 data and call centers with more than 34,000 employees. A...

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