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RedHat VP Calls on Gov Perdue to Veto NC Anti Community Network Bill

As time runs out on the future of affordable, fast, and reliable broadband in North Carolina, more are calling on Governor Perdue to veto H129, the bill pushed by Time Warner Cable to kill local authority to invest in essential infrastructure. If Governor Perdue does nothing, the bill will become law at midnight as Friday, May 20, draws to a close. Get involved, join the call to action from Free Press or a similar effort from Demand Progress. In the final hours, more have called on the Governor to veto the Time Warner Monopoly Act (which we have discussed ad nauseum here), including Michael Tiemann, a vice president from Red Hat, one of the most well known Gnu/Linux distributions. The letter was published on Rootstrikers.org, a community dedicated to fighting all the corruption in politics that allows massive companies like Time Warner Cable to buy legislation.
Dear Governor Perdue, We are strong supporters of your leadership and your campaign, and we would like to be heard on the important issue of community broadband. I know you are not afraid to use your veto pen, and so I ask you to veto H129, a bill that will take the future away from North Carolina and put it into the pockets of cable company monopolists. On Sunday May 15th you may have read about our latest investment in North Carolina, Manifold Recording. This was the feature story in the Arts & Living section, and the top right-hand text box on the front page. One of the most difficult and expensive line-items in this multi-million dollar project was securing a broadband link to the site in rural Chatham County. I spent more than two years begging Time Warner to sell me a service that costs 50x more than it should, and that's after I agreed to pay 100% of the installation costs for more than a mile of fiber.

Leading Critic of Community Network in NC Revealed to Be TWC Employee

It will come as no surprise to those familiar with this space that the leading critic of MI-Connection, a cable network in North Carolina owned by local governments, has been revealed to be an employee of Time Warner Cable. Hat tip to Stop the Cap! for bringing it to our attention last night. We have long watched massive cable/phone companies flood public meetings (both honestly and surreptitiously) with their employees to give the perception of widespread opposition to a publicly owned network. So while this is nothing new, the practice must be highlighted as something community networks should be aware of -- much like the rampant abuse of the commenting system in the Salisbury Post, where any story that mentions the community fiber network Fibrant is slammed by a few people who post under many different identities to give the impression of widespread disapproval. MI-Connection has been plagued by problems since buying a system that was in considerably worse shape than expected, thus requiring more capital to rehab and upgrade it. An additional problem has been the image damage done by relentless critics (noted last week):
Venzon [Chairman of Board for MI-Connection] said he’s frustrated because the publicly owned company still fights an image problem. “With the improvements we made to the system, I thought that people would be lined up out the door,” Venzon said. “I thought they’d see this as ours, this is us, and it just bugs me that we get such poor PR out there. We have not won that battle.
And now we know that a major critic of the network works for Time Warner Cable, a company vociferously opposes muni networks as a threat to their de facto monopoly.

Time Warner Cable Monopoly Protection Act Heads to North Carolina Governor

It took far more longer than expected, due to the many phone calls from concerned citizens opposing it, but Time Warner Cable's investments in the North Carolina Legislature have finally paid off. A bill that will crush its only potential broadband competition in the state is sitting on the Governor's desk. We join with SEATOA, the vast majority of businesses in North Carolina who depend on broadband, and local communities in calling on the Governor to veto it. The NC House had to approve it again due to changes made in the Senate -- including a change that absolutely gutted the rural exemption for communities who are lacking access broadband access to the Internet. Representative Avila and other sponsors have made many promises throughout this process that they never intended to hold true to. SEATOA has long organized to preserve local authority in this matter and reported:
We made certain Rep. Avila understood that that clarification gutted the exemption and she did not care. e-NC reports that the private sector providers are permitted to report an entire Census Block as having access to internet, if only one home in the block actually has it.  In essence, North Carolina will have no "unserved areas" or communities will have to do their own door to door surveys, an expensive and monumental feat.
But what do you expect from elected officials who calls something a "level field" while bragging that they are crafting rules (such as limited service territories) that only apply to the community networks, which already operate at a disadvantage to a $19 billion a year competitor like bill author Time Warner Cable? When the bill passed the Senate, a newspaper in Davidson noted its unequal approach that further handicapped communities:
Davidson Mayor John Woods said Tuesday MI-Connection deserves to be treated the same as private companies. “We strongly object to the territory limits that this bill will impose on MI-Connection which are not imposed on other broadband providers. In addition, MI-Connection would remain subject to open meeting laws, which do not apply to those other providers,” he said. Mr. Venzon also said local governments already face other rules that put them at a disadvantage to private competitors, including the requirement to operate under the N.C. Public Records Law.

Time Warner Cable Bill his Senate Floor, Chaos Ensues

As Time Warner Cable's bill to limit competition from community networks nearly finished its exciting journey through the North Carolina Legislature, it found itself in a madhouse where the sponsor of TWC's bill (Senator Apodaca) accused another Senator of allowing his children to watch adult content. Stop the Cap! wrote up the details, including a discussion of why Senator Apodaca's amendment to deny adult programming to publicly owned networks violates federal law. This is yet another "level playing field" requirement that handicaps publicly owned networks but does not touch Time Warner Cable -- no surprise given TWC's influence with the current group of Legislators in Raleigh. One of the most frustrating aspects of this ongoing saga is that it does nothing to help people and businesses get the access to the Internet they need for economic development, better health care and education outcomes, and more. This absurd debate is just about how fast North Carolina can walk backwards. Time Warner Cable and CenturyLink want Time Warner Cable to sprint backwards to protect the monopoly revenues. We are working with North Carolina's communities to stop it from moving backward at all. But nothing in here is helping communities to move forward and be competitive in the digital economy. There is still time to oppose this bill - contact information here at Stop the Cap!. Once again, we have some audio clips from the Legislature below.

Time to Act: North Carolina Senate Finance Committee Votes on H129 on Wed

North Carolina's Senate Finance Committee is poised to take away the right of communities to decide for themselves if building their own broadband network is a good idea or not. If it passes out of this committee, it goes right to the Senate Floor and will likely become law. We have covered Time Warner Cable's bill to kill community networks in greater depth than any other story -- and now folks in North Carolina have to immediately contact their Senators to oppose this power grab from big companies like TWC and CenturyLink. You can also use this form from Free Press if you are unsure who your Senator is. In recent weeks, we've posted excellent speeches from legislators opposed to the bill, testimony from concerned citizens, and a variety of resolutions from local governments who are fearful of this bill's impact on public safety networks needed to keep residents and businesses safe. If you are shy, you can call before or after business hours and leave a message on their voicemail. It takes less than five minutes. Your calls make a huge difference because so few constituents ever call state legislators. Simply let them know you oppose H129 and that the state should concern itself with expanding broadband access, not restricting who can offer it. And as I have said numerous times, those outside North Carolina should also be contacting their elected leaders -- because everyone lives in a state where powerful lobbyists are trying to preserve and expand the power of a few massive companies like Time Warner Cable and AT&T.

Public Testimony in Senate Finance Committee Against Time Warner Cable bill in North Carolina

We have again isolated individual comments from the arguments around Time Warner Cable's bill to strip local authorities of the right to build broadband networks vastly superior to their services. On April 13, the Senate Finance Committee allowed public comment on TWC's H129 bill. Craig Settles has posted an extended story about a small business struggling to get by with the existing paucity of service in her community.

There was no hope that I could efficiently communicate, collaborate, and share online documents and applications with clients and peer professionals. I couldn’t even buy a functional phone line. For years I paid for a level of service from Centurylink that I can only describe as absolutely embarrassing.

This bill will make it vastly harder, if not impossible, for communities to build the necessary infrastructure to succeed in the digital economy. Listening to those pushing the bill, it is very clear they have no conception of the vast difference between barely broadband DSL from CenturyLink and Wilson's Greenlight community fiber network -- essentially the difference between a hang glider and a Boeing 747. And many in North Carolina don't even have access to the hang glider! Yet the Legislature cares more about protecting the monopoly of powerful companies that contribute to their campaigns than ensuring all residents and businesses have access to the fast, affordable, and reliable broadband they need to flourish.

Thanks to Voter Radio for making audio from the hearing available.  Each of the following comments is approximately 2 minutes long.

South Carolina Faces AT&T Legislation to Preempt Local Competition

South Carolina has been quietly debating a bill to further erode the right of communities to decide locally whether they want to build broadband networks. South Carolina already restricts the rights of communities to build these networks but HB 3508 / SB 483 will effectively make any local government ownership of telecommunications facilities impossible. Unsurprisingly, this bill is opposed by the South Carolina Association of Counties and the Municipal Association of South Carolina. But the lead opposition to it has come from Bill Clark, an Administrator from rural Orangeburg County. On the other side is AT&T, the nation's 10th largest company. The bill is blatantly protectionist for AT&T interests, throwing South Carolina's communities under the bus. But as usual, these decisions about a "level playing field" are made by legislators solely "educated" by big telco lobbyists and who are dependent on companies like AT&T for campaign funds. Even if AT&T's campaign cash were not involved, their lobbyists talk to these legislators every day whereas local communities and advocates for broadband subscribers simply cannot match that influence. We see the same unlevel playing field, tilted toward massive companies like AT&T, in legislatures as we do locally when communities compete against big incumbents with their own networks. Despite having almost all the advantages, they use their tremendous power and create even more by pushing laws to effectively strip communities of the sole tool they possess to ensure the digital economy does not pass them by. South Carolina's access to broadband is quite poor -- 8th worst in the nation in access to the the kinds of connections that allow one to take advantage of the full Internet according to a recent FCC report [pdf].

Breaking Through Time Warner Cable's Misinformation in North Carolina

I wrote an op-ed for the Durham Herald Sun about the efforts in North Carolina to limit local authority to build community networks. We will continue heavy coverage on North Carolina and other states in danger of passing anti-competitive, pro-monopoly legislation proposed by powerful, massive carriers. Here is the op-ed: After more than four years of lobbying, Time Warner Cable may finally succeed in restricting the authority of local communities to build their own broadband networks. Its legislation, H 129/S 87, will enact a host of special requirements for publicly owned networks that do not apply to networks run by the cable and phone companies. The "Level Playing Field / Local Gov't Competition" bill could more appropriately be called the "Monopoly Protection Act." Rather than actually leveling the playing field, this bill solely disadvantages publicly owned networks. Time Warner Cable has convinced the House that a massive $18 billion-per-year company operating one of the largest telecommunications networks on the planet, is powerless to compete against a community-owned network like Greenlight in Wilson or Fibrant in Salisbury. Bill sponsor Rep. Marilyn Avila has simply had enough of "predatory" (her word) local governments shaking down AT&T and TWC. The champion of a similar bill last year, Sen. David Hoyle, candidly admitted it was written by TWC. There is no reason to suspect anything changed this year. But perhaps the more fantastical element of this story is that the Legislature's biggest broadband priority is to limit, not expand, broadband investments in the state ranked 41st in broadband. Just how bad is North Carolina's broadband? When Broadband.com launched its new map showing the prices paid by small businesses for broadband, seven of the 10 most expensive cities were located in North Carolina. Anchorage barely beat out Greensboro for the highest average price per Mbps. This is why major private sector companies like Google and Intel have gone on the record opposing TWC's bill. Fast, reliable, and affordable access to the Internet is essential for communities to thrive in the modern age.

Another North Carolina Community Passes Resolution Against Time Warner Cable Bill

Bladenboro is yet another community to make its opposition to H129 official with a resolution. We are awaiting at least 2 more official copies of passed resolutions in other NC towns to post as well. A sample resolution is available here [rtf].

A RESOLUTION OF THE TOWN OF BLADENBORO URGING MEMBERS OF THE GENERAL ASSEMBLY AND GOVERNOR PERDUE TO OPPOSE H129 AND S87 (LEVEL PLAYING FIELD/LOCAL GOVERNMENT COMPETITION ACT) AND ANY LEGISLATION WHICH WOULD PROHIBIT OR LIMIT THE ABILITY OF LOCAL GOVERNMENTS TO PROVIDE BROADBAND OR ANY OTHER COMMUNICATION SERVICES OR SYSTEMS

WHEREAS, Senate Bill 87 and House Bill 129 have been introduced in the 2011-2012 Session of the General Assembly of North Carolina; and

WHEREAS, these bills do not provide a level playing field to cities, to cities, towns and counties, but greatly hinder local governments from providing needed communications services, including public safety networks, and especially advanced high-speed broadband services, in unserved and underserved areas; and

WHEREAS, these bills impose numerous obligations on cities and towns that private broadband companies do not have to meet; and

WHEREAS, while private companies declare top top-quality broadband service is cost prohibitive, the United States continues to lose ground to other nations in broadband access, user cost and growth in number of users, falling behind the United Kingdom, Korea, France, Japan, Canada, Estonia, and now China, each of which provides Internet access at speeds that are some 500 times faster than what the private providers in the United States and at less cost; and

WHEREAS, the bills would prohibit North Carolina cities and towns from using federal grant funds to deploy or operate locally-owned or operated broadband systems, thereby denying N.C. residents access to federal assistance available to the rest of the country and hindering employment opportunities; and