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. 

Celina, Texas, recently started its journey toward publicly owned Internet infrastructure by adopting a smart, forward-thinking conduit ordinance. The decision to adopt the new Easement Ordinance is part of the city’s long-term vision to bring gigabit connectivity to businesses and residents.

Developers' Contribution

The new policy requires developers to install conduit and fiber-optic cable in underground excavation within the city limits. Developers pay for the installation and then convey the assets to the city. In order to reduce the need for excavations and cut costs, Mount Vernon, Washington, passed a similar ordinance years ago as they developed their network. Up to 90 percent of costs associated with underground deployment are often due to the excavation rather than materials; smart dig once policies like Celina's saves public dollars.

Internet service providers who wish to offer connectivity in the areas where city fiber and conduit exist will be required to use available dark fiber from the city, rather than deploying their own infrastructure. The ordinance does allow the city provide exceptions in order to promote competition and reduce any barriers to entry for new ISPs.

Before the city council unanimously voted to support the new ordinance in May, they took feedback from the community. According to the Celina Record, several local developers expressed excitement over the Gigabit City Initiative, but weren’t as enthusiastic about the ordinance. Their main concern was how the new rule would be implemented.

They have reason to be excited about the potential to add Fiber-to-the-Home (FTTH) connectivity to their new properties. In 2015, the Fiber To The Home Council’s study determined that FTTH access can add up to $5,437 to the value of a $175,000 home.

Residents Require Something Better

When a community is plagued with poor connectivity, it impacts residents, businesses, schools, and government. Several entities within a community sometimes band together to explore solutions. In Grand Island, New York, the Town Board and the School District are pooling resources in search of possibilities.

Chronically Slow

The town entered into a contract for Internet access with Time Warner Cable, which was purchased by Charter Communications; the company now serves the town under the name “Spectrum.” According to Town Supervisor Nathan McMurray, he’s measured speeds in Town Hall, which dip as slow as 5 to 10 Megabits per second (Mbps). The cable provider claims that its speeds are 50 Mbps. "I can't find anyone who has had 50 Mbps, the fastest I've seen is 25," said McMurray. "Every week I receive screenshots from people complaining."

Grand Island (population approximately 21,000) is in the Niagara River and considered part of Erie County. The county is at the western border of the state with Canada; Buffalo is the nearest American urban center.

A Middle Mile Partnership?

The town and the school district have commissioned a feasibility study to examine the idea of investing in a publicly owned fiber-optic line through the middle of the island. The city hopes the investment will encourage more providers to move into the area and build out last mile infrastructure to serve the community.

School district representatives mentioned that they are satisfied with the service the schools now receive from the Board of Cooperative Educational Services, but are in interested in the benefits of owning the infrastructure:

"By building their own infrastructure (the school district) will have at least as good as service as they do now, but they will own the lines," said McMurray of the potential for a partnership. "And by leveraging the power of the schools the municipal infrastructure will benefit as well. By involving the school this puts this into the realm of possibility."

A new year promises a fresh slate for many people. For the folks at Washington’s NoaNet, it means starting out 2017 bond-free.

In his year-end message, Chief Executive Officer Greg L. Marney announced that the organization has paid off its start up debt. At the November Board of Directors meeting, Controller Paul Harding reported that revenues are positive and that, “Budget to actual figures are favorable, with revenues above Budget and expenses a little below Budget.” Things are looking good at NoaNet.

A Washington Staple

NoaNet has become a solid presence in the state of Washington. In 2000, Northwest Open Access Network (NoaNet) began connecting 170 communities across the state with approximately 2,000 fiber miles. The middle mile network provides connectivity in both urban and rural areas to schools, libraries, hospitals, and other government facilities. Sixty-one Internet Service Providers (ISPs) offer retail services vis the open access infrastructure. Recently, Anacortes and NoaNet decided to work together as the small community addresses its local connectivity problems.

Last year, we put together a list of 15 NoaNet accomplishments, but you can also listen to Chief Operating Officer Dave Spencer visit with Christopher for episodes #164 and #159. Congrats to NoaNet!

Linda Gott, President of the NoaNet Board of Directors, cuts a cake to celebrate the payoff of NoaNet's startup bonds this year.

(Photo courtesy of NoaNet)

Plans for a fiber-optic middle mile network to serve the Brazos Valley in Texas are firming up and the project should be up and running within two years, reports KBTX from Bryan and College Station. The network will also have a fixed wireless complement.

Healthcare First

The $22 million network backbone, funded through the FCC’s Healthcare Connect Fund and the Brazos Valley Council of Governments (BVCOG), will first connect healthcare providers such as hospitals, schools nurses, and jail clinics.

According to the April 2015 Network Plan from the Brazos Valley Council of Governments, 62 percent of the population in the proposed service area live in rural areas with poor access to quality healthcare. Twenty percent of residents in the region are 60 years of age or older. Texas A&M School of Public Health, one of the partners in the project, completed a study that indicated high percentages of chronic conditions in residents in the region. In 8 of 12 of those measures, the results were worse than the national average. In some cases, the rates were twice as high as national averages.

Jobs Ahead

Iowans in the small town of Osage have been able to obtain cable Internet access from the community’s municipal utility since 2001. The community is about to take the next step; Osage Municipal Utility (OMU) is acquiring a fiber-optic backbone from a private provider. The purchase will get them started on what will eventually be a Fiber-to-the-Home (FTTH) upgrade.

Serving Osage For More Than 125 Years

Osage, the Mitchell County seat, is home to about 3,600 people and located in north central Iowa. The electric utility began as Osage Electric Light, Heat and Power Company in 1890. After several ownership changes, the municipality became the owner in 1941. In 1959, the utility began supplying natural gas and in 2001, the utility added a communications system. In addition to Internet access, OMU also began offering cable TV and telephone service.

OMU is also developing a Voluntary Community Solar Program in which customers can purchase units of Solar Array capacity and in return they receive a production-related credit on their monthly utility bill.

Another Local Tool

Josh Byrnes, general manager of OMU, described the backbone as “another tool in the economic toolbox.” He noted that the line will create opportunities for people outside of OMU’s service area that live along the backbone to potentially obtain service from private providers.

In addition to providing FTTH to customers in the future, Byrnes noted that OMU will also be bringing much needed redundancy in the area. Incumbent Omnitel Communications is the sole provider of fiber-optic services in Mitchell County. OMU will offer fiber in Mitchell, one of the towns in the county where Omnitel has no fiber presence.

“We are simply getting connectivity to Osage and build out from there. There are going to definitely be opportunities for savings to our rate payers long term. Even more important is the dependability of services moving forward. It’s hard to put a price on that.”

Throughout the October Broadband Communities Magazine conference, folks kept repeating this sentiment: some partnerships are smooth and others have rough patches. At the conference, we heard from several electric cooperatives who had partnered with other cooperatives to provide next-generation connectivity to their communities.

We specifically want to highlight the work of two North Carolina electric cooperatives: Lumbee River EMC and Blue Ridge Mountain EMC. They were both included in our report North Carolina Connectivity: The Good, The Bad, and The Ugly. Each co-op took the bold step of building a Fiber-to-the-Home (FTTH) network throughout sparsely populated regions. At the conference, we were able to learn first-hand about their experiences.

Despite the Distance: Lumbee River EMC & HTC

HTC Chief Executive of Marketing Brent Groome described how the two cooperatives collaborated despite being nearly an hour away from each other. Their work together has involved a commitment to similar values and dedication to improving rural communities. (Lumbee River EMC’s representative was unable to attend the conference as much of the service territory had suffered flooding from the recent hurricane.)

Lumbee River EMC’s entry into Internet service brought fiber connectivity to southeastern North Carolina. The co-op provides electricity to more than 50,000 members. In 2010, the USDA provided Lumbee River EMC with nearly $20 million in funding to install fiber. A state law, however, imposes certain restrictions on electric co-ops and USDA funding. The electric co-op had to find another company with the drive and expertise to provide Internet service.

The results of a study are in and its authors recommend Stark County invest in a regional middle mile fiber-optic network, establish a broadband authority, and take other significant steps to keep the county from falling behind in today’s economy.

The Fourth Utility

The county has relied heavily on manufacturing and retail in the past but as those opportunities dry up, young people are moving away and the future is in jeopardy. Healthcare is another strong industry in the region, but access to high-quality connections is now a must-have for hospitals and clinics. Elected officials also recognize that diversifying the local economy to lure companies that offer higher paying positions will bring new blood to Stark County.

In order to attract new commerce to Stark County, Ohio, they formed a Broadband Task Team (SCBBTT) in the fall of 2014. They have adhered to the philosophy that connectivity is a “fourth utility” and should be treated like electricity, water, gas, or sewer systems. In May, the SCBBTT hired a consultant to perform a feasibility study; the firm presented its findings and recommendations on October 12th.

Consultants Offer Results, Recommendations

Consultants analyzed the amount of fiber in the county and reviewed the state of connectivity for businesses and residents and found both lacking.

Incumbents include local provider MCTV, which offers cable TV, Internet access, and phone services over its coaxial fiber network. Charter Communications, which recently acquired Time Warner Cable assets in the area, and AT&T offer cable and DSL but the feasibility revealed that there is very little fiber connectivity for residents or businesses.

They recommend that the county employ a six-pronged approach: