When a debate between candidates for Wilson's sheriff proved too popular by far for the scheduled venue, Greenlight stepped in to televise it.

Jon Jimison, Wilson Times editor, said his phone has been ringing off the hook since the debate at Fike High School was announced. Fike holds a little more than 900 people. With the tickets snapped up on the first day of availability, televising the debate was what Jimison wanted. "We're very happy the city and Greenlight are partnering with us on this event," Jimison said. "By having the debate aired on Greenlight it exponentially increases access to the debate so more residents can see it for themselves."

Greenlight is the community fiber network built by Wilson's public power company and is owned by the City. Wilson is fortunate to have a publicly owned network able to step in and televise the network. In many towns, the incumbent is a private company that has little interest in helping out in such a situation. Thousands of towns do not even have a local cable presence they can call on if they were in this situation -- big carriers continuously consolidate and shut down local service centers to save money. I recently visited Sibley County, Minnesota, where they are considering a publicly owned fiber-to-the-farm network. The programming they see on their TV comes from another state - Iowa! This is yet another reason communities should have networks that are directly accountable to them.

Wilson's Greenlight community fiber network is ahead of schedule. They continue to operate ahead of the business plan, despite a few difficulties that offer lessons to up and coming community networks. We recently covered the fallout from their application to the broadband stimulus program where they had to disclose network information to their competitors. Fortunately, that was not the only news last month from North Carolina's first all-fiber citywide network. They also surpassed 5000 subscribers and remain 6-9 months ahead of their business plan in take rate, according to the Wilson Times.

The number of customers is expected to reach 5,300 by the end of the fiscal year if the current trend continues, according to Dathan Shows, assistant city manager for Broadband and Technical Services. The city's current business plan calls for Greenlight to reach 5,000 customers by the end of the third full year of operation, which will be June 2011.

This is not the first time the network has exceeded projections; the network was built faster than expected and quickly jumped out ahead of take rate expectations. One of the reasons Greenlight may be growing is its attention to local needs, as illustrated by the network finding a way to televise local football matches that otherwise would not have been available. However, the Wilson Times story goes into much greater detail regarding the competition from Time Warner Cable. As we regularly see, Time Warner Cable is engaging in what appears to be predatory pricing to retain customers and starve Greenlight of new subscribers. A lesson to other community networks, Wilson is documenting the deals TWC uses to keep subscribers. All communities should keep these records.

"Time Warner Cable's market tactics include anti-competitive pricing that interferes with Wilson's ability to secure customers through normal marketing," the application [for broadband stimulus] states.

I recently heard that the only place one finds a free lunch is in a mouse trap. As we sift through the lessons from the broadband stimulus programs, we have learned that the federal government preferred funding private projects rather than those that are structurally accountable to the community. Before the first round of stimulus applications were due, many communities recognized the costs of applying were too high for them. Now, some are recognizing the high costs of complying with the many federal rules that come with accepting federal grants and loans (as detailed by Craig Settles). And now, North Carolina's city of Wilson has found that applying for the broadband stimulus may have disadvantaged its FTTH network. Though the application was not accepted, the city has had to turn over its full application (chock full with proprietary information) to its competitors. This is yet another example of ways in which the "playing field" is tilted against the public. The Wilson Times explained the situation and settlement.

The application included a proposed expansion of the network to provide reduced-cost or no-cost broadband lines to homes of Wilson County school children, a health network, increased lines for police and other improvements that would enhance the network in the city, Goings said.

When the North Carolina Telecommunications Association (with prominent member Time Warner Cable - incumbent cable provider competing with Wilson's Greenlight) asked to see the full application, the City refused to turn it over -- even after a court ruled against the City. The City argued the application contained key information regarding the policy and utilities that should not be made public for security reasons. When the Department of Homeland Security ignored the City's requests to intervene, the City was compelled to release the documents. This is a particularly interesting juxtaposition as privately owned telcos and cablecos regularly argue against having to disclose any information about about their networks as a security concern.

Kudos to Wilson's Greenlight fiber network in North Carolina. They are featuring some interviews with people who like their services, two of which are embedded below.

A few weeks ago, the Herald Tribune ran a number of articles about broadband by Michael Pollick and Doug Sword that discussed some community fiber networks and efforts by Counties in Florida to build their own fiber-optic networks. The first, "Martin County opting to put lines place," covers the familiar story of a local government that decides to stop getting fleeced by an incumbent (in this case, Comcast) and instead build their own network to ensure higher capacity at lower prices and often much greater reliability.

"We decided for the kind of money these people are asking us, we would be better off doing this on our own," said Kevin Kryzda, the county's chief information officer. "That is different from anybody else. And then we said we would like to do a loose association to provide broadband to the community while we are spending the money to build this network anyway. That was unique, too." The new project will use a contractor to build a fiber network throughout the county and a tiny rural phone company willing to foot part of the bill in return for permission to use the network to grab customers of broadband service. The combined public-private network would not only connect the sheriff's office, county administration, schools and hospitals, but also would use existing rights of ways along major highways to run through Martin's commercial corridors.

Michael Pollick correctly notes that Florida is one of the 18 states that preempt local authority to build broadband maps. However, they incorrectly believe that Martin County is unique in its approach.

What do you do when the media gets key facts about your community network wrong? Set the record straight! This blog post from the Public Affairs Manager in the city of Wilson, North Carolina, demonstrates a good response to errors in an article. In the first case, it offers "clarifications," a better term than errors when dealing with reporters, especially as many reporters have less expertise than we would like in the complicated world of broadband networks, policy, and technology. This is a good excerpt - with the City's response in blue text.

Other conflicts can arise as well. For example, in 2007, when Wilson was developing its Greenlight service, the town tripled its rate for using municipal utility poles from $5 to $15 a year. That raised the pole fee for Time Warner Cable from $82,000 to $246,000 a year, but Time Warner is still paying the old rate while it negotiates with town officials over the issue. Before 2007, Wilson’s pole fee had stayed the same since 1975. The attachment fee increase was not related to Greenlight. The old fee schedule was outdated. By comparison, the cable company’s standard rates have doubled since 1997. “When the regulator becomes your competitor, it’s not a good situation,” said Marcus Trathen, a lawyer for the cable lobby. Wilson and other cities regulate only the pole attachments. The cable and telecom companies are regulated by the State of NC. The local regulation of cable services ended in 2007 after intense lobbying from the cable/telecom companies.

The main issue is to make sure false claims are corrected at every opportunity. These networks and local policies around pole attachments are greek to most people. Any false claim without a response (and some that are responded to) will be believed by many in the community.

Wilson has won two awards for communications due to its efforts on the Save North Carolina Broadband Blog. The city of Wilson's public power utility built a citywide FTTH network called Greenlight. Their blog has featured a lot of content both about Greenlight's successes and efforts by cable and telco lobbyists to ban community broadband in the state. Cities should strongly consider creating similar blogs as helpful communications tools with citizens... but if such a blog is created, the community must make an effort to keep it updated.

Lafayette Utilities System has filed a complaint with the FCC following what seems to be a rather arbitrary decision by the National Cable Television Cooperative (NCTC) to deny Lafayette as a member. This is a crucial issue for communities that want to build fiber-optic networks, so we will dig in and offer an in-depth explanation. It all starts with the business model. Fiber-optic networks are fantastically expensive and are expected to be financed entirely with revenues from subscribers. Though communities typically want fiber-optic networks for the broadband capacity, they find themselves having to offer cable television services also to ensure they will attract enough subscribers to make the debt payments on the network. Unfortunately, cable television services are the most difficult and expensive part of the triple-play (broadband, telephone, cable tv). A community network has to sign deals with different content providers in order to put together its channel lineup. Even a community network with 100,000 subscribers has little power over the companies with channels like ESPN, the Disney Channel, Discovery, MTV, Food Network, and others. Thus, it will have to pay more for those channels than massive networks like Comcast that have many millions of subscribers and therefore a stronger negotiating position. LUS has noted that video programming is the "largest single on-going cost" it incurs in the network. Enter the NCTC. By forming a cooperative, many small providers (public and private) were able to gain negotiating power over content owners and even hardware manufacturers to cut costs to members by buying in bulk. In recent years, the size of NCTC rivaled that of major national providers like Charter and Cox cable. All three parties stood to gain by bringing Cox and Charter into NCTC in 2009. The addition grew NCTC significantly -- only Comcast has more subscribers currently. The advantages of NCTC are quite significant and worth reiterating because it is a reminder of the ways in which massive private companies have the playing field tilted in their direction. Without access to NCTC, communities have to pay more for the same content and equipment (NCTC savings may start at 15%-20%.

The latest attack on publicly owned broadband networks in North Carolina now has an official name - S1209: No Nonvoted Local Debt For Competing System and will apparently be debated in committee next week. This bill is meant to stomp out any competition from community-owned broadband networks - the only real threat to Time Warner and other absentee-owned incumbent operators in the state. Not only would this bill create high hurdles for communities that want to build broadband networks, it also could prevent existing networks from upgrading or expanding. The community-owned networks in Wilson and Salisbury are the most advanced broadband networks in the state. It is not clear, but the law may even bar communities from building networks with federal funds, as under the broadband stimulus projects, for instance. A coalition of local governments, concerned citizens, and private businesses (some noted here) are coming together to stop this attempt to keep North Carolina locked into the last-generation networks of AT&T and Time Warner. In previous years, similar efforts to prevent community networks all suggested that local governments derived unfair advantages because they could finance their networks with tax dollars (though very few community networks have taken that approach). Now the same people are arguing that local governments should only be able to finance networks with taxpayer-backed bonds - a dead giveaway that those pushing to limit community broadband have no higher principle than protecting incumbent operators from competition. As we have chronicled in coverage of North Carolina, several newspapers have come out against this bill - most recently the Winston-Salem Journal:

The Journal has long argued that government borrowing without a vote of the people is both unwise and unconstitutional. But that is borrowing backed by the "full faith and credit" of the borrower, in this case, the people of the jurisdiction involved. So, if that is what the telecoms want, we support them. But that protection is already written into the state constitution.

Time Warner, AT&T, and other incumbents have radically changed their strategy to prevent broadband competition in North Carolina via new restrictions that are being debated in the Legislature currently. This switch in strategy offers more proof that they stand on no principle aside from protecting their monopoly. The famous HB 1252 in North Carolina is back... but different. In the past, the telcos and cablecos have argued that municipal broadband networks are unfair to them because the city could use tax dollars in some way to build the network (ignoring that most publicly owned networks do not use any tax dollars). Now, these companies are pushing a bill to require financing backed by taxpayer dollars. Seems like an odd switcheroo. As one might expect from companies like AT&T and Time Warner, who have no respect for the public process, the bill was kept top secret until debated in committee, giving only the side filled with monied interests and lawyers an opportunity to prepare. The bill (that we have made available here as there is no official version yet) would not just place significant restrictions on new publicly owned networks, but would also handcuff existing networks like Salisbury and Greenlight in Wilson. To reiterate, this bill will damage the most advanced broadband networks available in North Carolina today. Sounds like North Carolina wants to take up Mayor Joey Durel in Lafayette on his offer to welcome the businesses moving from North Carolina to Lafayette with a big pot of gumbo. Fascinating that after an FCC Commissioner noted that the US Broadband Plan recognizes the right for communities to build their own broadband infrastructure, North Carolina is deciding it prefers to preclude any broadband competition, sticking with its last-century DSL and cable. Just fascinating. The Salisbury Post has been watching and recently published a scathing editorial against the bill. This is one paragraph, but the whole editorial is well worth reading.

Yet, if the HB 1252's intent becomes reality, such areas will be severely hobbled in their near-term ability to tap into the broadband revolution.