
Fast, affordable Internet access for all.
In the spring, Westfield, Massachusetts began to expand it’s Fiber-to-the-Home (FTTH) network, Whip City Fiber with a build-out to three additional neighborhoods. Earlier this month, Westfield Gas + Electric announced that they will soon expand even further to three more areas.
According to Dan Howard, General Manager of the utility, the demand for the symmetrical Internet access is strong:
"Every day we hear from residents of Westfield who are anxious for high-speed Internet to be available in their neighborhood," he said. "It's a great motivator for our entire team to hear how much customers are looking forward to this new service."
Gigabit residential access is $69.95 per month; businesses pay $84.95 for the same product but also get Wi-Fi for their establishments. Installation is free. If people in the new target areas sign up before August 31st, they will get a free month of service.
Like a growing number of communities, Westfield started with a pilot project in a limited area to test the level of interest for a FTTH network in their community. They are finding a high level of interest and gaining both confidence and the knowledge to continue the incremental expansion across the community. Other towns with the same approach include Owensboro, Kentucky; Madison, Wisconsin; and Holland, Michigan.
Westfield officials are asking interested residents and businesses to check out the pilot expansion page to determine if they are in the expansion area and to sign up for service. The page also explains how your Westfield neighborhood can become a fiberhood to get on the list for expansion.
Marking another big step forward, the mayor and Common Council of Westminster, Maryland (pop. 18,000) have hired a telecommunications, utility and government contracting firm to continue building the first two phases of the Westminster Fiber Network (WFN).
City Hires SMC
Westminster expects to complete this construction in 2017, providing Gigabit per second (Gbps) connectivity to an additional 2,700 homes and businesses in the western part of the community, according to a city news release. Cost of this phase is undetermined $21 million, Westminster marketing consultant Jason Stambaugh told us; the city will issue general obligation bonds to fund the entire cost of the network the expansion.
One year after Westminster celebrated lighting its municipal fiber network, the city hired SMC, Inc. to construct the expansion. Westminster is partnering with Toronto-based Ting to provide retail services via the Fiber-to-the-Home (FTTH) network.
“This expansion of the WFN is an important milestone and demonstrates the City’s continued commitment to revolutionize Internet access, bring local jobs, and drive innovation that will enable the community to thrive.”
Westminster began building its municipal fiber network in October, 2014, and entered into a public-private partnership with Ting in February, 2015. The city owns the infrastructure and Ting leases fiber to bring Internet service to businesses and residents. Westminster began its municipal fiber network, spending about $1.8 million to get the project started in a residential retirement community and an industrial park.
Bonds Back Fiber Network
Because of high demand, the City Council voted to expand the municipal fiber project, approving a $21 million general obligation bond agreement with SunTrust Bank.
Leverett, Massachusetts, has operated its Fiber-to-the-Home (FTTH) network since August 2015, working with Crocker Communications to bring Gigabit per second (Gbps) connectivity to residents and businesses in the Massachusetts town. The contract with Crocker is not indefinite, however, and the city has issued a Request for Proposals (RFP) for other Internet Service Providers (ISPs) to offer services on the network. Responses are due August 15, 2016.
According to the RFP, the ISP selected will have an exclusive agreement to provide services to the community as leverettnet.net. The community seeks a three-year contract and will begin on or before July 1, 2017.
Leverett’s contract with Crocker Communications was also a three-year term, commencing in 2014. Releasing an RFP now will give community leaders eleven months to review submissions from potential providers and negotiate terms. With their own infrastructure, Leverett has the ability to take a discerning approach and explore other options from the RFP release.
RFP SCHEDULE:
Written Questions Due: July 18, 2016 at 10 a.m.
Answers to Questions Posted: July 25, 2016
Submission of Proposals Due: August 15, 2016 at 10 a.m.
Finalist Named: August 26th, 2016
Contract Award: September 2nd, 2016
This week in The Nation, Peter Moskowitz highlighted some of the nation's fastest municipal networks, bringing these Gig cities to a new level of national awareness. From Sandy, Oregon, to Wilson, North Carolina, and Chattanooga, Moskowitz touted these networks as a main reason the cities have been able to attract entrepreneurs and businesses.
The focus of the article was on Chattanooga's EPB Fiber network, how it propelled the city into the 21st century, and continues to spark innovation. Chattanooga's EPB now boasts a subscribership of 82,000 -- testimony to fast, affordable, reliable connectivity and good customer service.
“Really, these last two years you’ve seen it pick up steam,” said Christopher Mitchell, the director of the Community Broadband Networks Initiative at the Institute for Local Self-Reliance (ILSR). “It’s just going to keep on spreading.”
Six years ago, Chattanooga was the only city offering publicly owned 1-gigabit Internet. Today, over 50 communities do, according to ILSR, and there are over 450 communities in the United States offering some form of publically owned Internet. Many municipal networks are in small towns and rural areas where private high-speed Internet is hard to come by. But several dozen are in cities like Chattanooga, where there are other, private options for internet that tend to be much more expensive and slower than what governments have proven they can provide.
While the Internet network is one of many things Chattanooga is doing right, the option to obtain Gigabit per second (Gbps) service for only $70 per month is a big bonus. Other communities see Chattanooga's success and are starting to replicate their own affordable Fiber-to-the-Home (FTTH) Gig plans.
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Two new Requests for Information (RFI) were recently released in Palo Alto, California, and Pikeville, Kentucky.
Pikeville, Kentucky
Pikeville is open to both public ownership and Gigabit service via privately owned infrastructure. This community of approximately 7,000 residents wants Fiber-to-the-Premises (FTTP) for businesses, community anchor institutions, municipal facilities, and residents. The regional Appalachian Mountain community, with many jobs lost due to the shrinking coal industry, is turning to connectivity as a way to spur economic development.
Pikeville’s RFI describes how service from existing providers is expensive and "sporadic." This RFI calls for a partner that will help the community develop an open access, affordable, financially sustainable network. In drafting the RFI, Pikeville’s officials made sure to note that low-income residents will not be left behind; bringing this asset to disadvantaged residents is a priority.
The city is the county seat of Pike County and home to a number of colleges as well as several large healthcare facilities. City, county, and federal government facilities are also located in Pikeville and need better connectivity. In 2015, the city obtained a $5 million grant for technology-based training and degree programs for residents in the area. A $1 million grant supplied funding for a Broadband Technology Center in Pikeville. Now the city needs fast, affordable, reliable Internet network infrastructure to complement the Center and to move the local workforce toward more information based industries.
Important Dates:
The city’s website has more information and details.
Palo Alto, California
Palo Alto is a Silicon Valley city of 67,000 residents; daytime workers coming into the community swell the population to approximately 125,000. Incumbents include Comcast and AT&T who have intimated they might be interested in bringing fiber to the city, but have yet to act. Community leaders are exploring all options with this RFI.
Ozarks Electric Cooperative has a plan to bring fast, affordable, reliable connectivity to northwest Arkansas and northeast Oklahoma.
Fast, Affordable, Reliable Connectivity At Last
OzarksGo, a wholly owned subsidiary of the electric co-op, will provide Fiber-to-the-Home (FTTH) Internet service with symmetrical speeds of up to a Gigabit (1,000 Megabits) per second. The fiber network will cost $150 million to build over the next six years.
ArkansasOnline and local news station KSFM reported on the future network. The residential FTTH service will have no data caps and OzarksGo will offer additional services, such as telephone and video. At the end of the project, all co-op members will have access to the network's services.
According to the FCC 2016 Broadband report, 25 percent of all Arkansas residents don't have access to broadband (defined as 25 Megabits per second (Mbps) download and 3 Mbps upload). In Oklahoma, the FCC puts the numbers higher at 27 percent. Rural areas are even higher with 48 percent lacking in Arkansas and 66 percent missing out in Oklahoma. Considering the data collection process depends on self-reporting by ISPs, those numbers are considered low. The number of households that do not have access to federally defined broadband, especially in rural areas, is higher.
Soon though, these Arkansas and Oklahoma residents will have access to fast, affordable Internet access. General manager for OzarksGo Randy Klindt, who previously worked on Co-Mo Electric Cooperative's FTTH network, explained in the video below that the price for a Gigabit will be less than $100, which is an entirely opt-in service.
Rural electric cooperatives have decades of experience in providing essential services. Now several are looking to improve Internet access in unserved and underserved regions. In central Missouri, Barry Electric Cooperative and Co-Mo Cooperative have already started by providing Fiber-to-the-Home (FTTH) Internet service. Another Missouri electric co-op, Callaway Electric Cooperative, is also getting into the business.
The co-op’s subsidiary, Callaway Electric Service, aims to offer FTTH in Callaway County and has teamed up with the local telephone co-op’s subsidiary, Kingdom Technology Solutions. Together, they will operate the partnership as Callabyte Technology.
Increasing Speeds and Access
Callabyte Technology will offer symmetrical Internet access speeds (i.e. the same upload and download speed). They will also offer telephone and video service as a triple-play package. Their “basic” speed is 100 Megabits per second (Mbps), four times faster than the FCC’s current download speed for the definition of broadband (25 Mbps download and 3 Mpbs upload). Prices are competitive:
In the fall of 2015, they began a pilot project in a small section of Callaway Electric Cooperative’s service area, which took place in the Stonehaven Subdivision near Fulton, Missouri. Telecompetitor reported that the project had a 50 percent take rate.
Sharing Expertise and Profit
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You can download this mp3 file directly from here. Listen to other episodes here or view all episodes in our index.
Thanks to Forget the Whale for the music, licensed using Creative Commons. The song is "I Know Where You've Been."
Next Century Cities recently hosted "Digital Northwest," a summit for regional broadband leaders. Leaders from member cities all over the country gathered together to learn from one another and discuss digital inclusion, models for success, partnerships, and much more.
Chris led a panel of mayors and city council leaders from cities with well-known municipal networks in a discussion of their networks and how their communities have benefitted.
The panel featured: