Eight years after completing its citywide dark fiber network, Idaho Falls, Idaho, is now taking steps to offer municipal fiber optic Internet services to its residents. While the city engaged two consulting firms in 2015 to evaluate internet service options, the municipal power board of Trustees has now approved a pilot program to test the potential of creating a Fiber-to-the-Home (FTTH) network throughout the city this year. Once a pilot neighborhood is selected, the city expects to begin testing fiber optics in a thousand homes by early winter 2019. 

Idaho Falls, with a population of about 60,000, is the largest city in eastern Idaho. Located on the Snake River, the city is the county seat of Bonneville County and a center of activity in the region. While seven ISPs currently use the city’s publicly owned Circa dark fiber network, with its recent decision, the city hopes to finally use this infrastructure to its full potential and provide services of its own. 

Crucial Infrastructure

Many Idaho Falls city council members feel that the decision to provide fiber to residents and businesses is critical to the economic future of the city. In a conversation with East Idaho News Councilman John Radford noted that fiber connectivity is essential infrastructure - as crucial as gutters, sewers, and roads were in the 1900s. City spokesman Bud Cranor said,

“There is a huge need for increased capacity and connectivity not just for residents, but for business development. [The decision to offer fiber to residents] is going to be monumental in [the city’s] efforts to diversify [its] economy and bring new business.”

Residents of northern Arkansas will soon be able to obtain high-speed Internet access through their local electric cooperative. North Arkansas Electric Cooperative (NAEC) recently received approval from its Board of Directors to expand its residential broadband pilot program, NEXT, Powered by NAEC. This expansion will bring Fiber-to-the-Home (FTTH) connectivity and one gigabit speeds to the co-op’s entire service area. 

Origin of NEXT, Powered by NAEC

We first covered NEXT last year on Community Broadband Bits episode 243, when we talked to Mel Coleman, the CEO of NAEC.

While on the podcast, Coleman discussed how rural electric co-ops brought “the next greatest thing,” electricity, to their members. He views the provision of Internet services as following in the same historical tradition: “What we like to think is, ‘This is the next “next greatest thing,”’ and that is broadband in your home, true broadband.”

To bring broadband to their members, NAEC created the subsidiary NEXT to develop the fiber network and connect residences.

Developing a Successful Pilot

In 2016, the NEXT pilot program was launched in three locations in Baxter and Fulton counties. The pilot area included both urban and rural communities as well as portions of the small town of Salem, where NAEC is headquartered. Internet, voice, and video services were offered to approximately 1,500 co-op members within the pilot program’s targeted areas, according to the press release carried by Areawide News.

Since NAEC already owned a fiber backbone to manage its electrical system, the co-op simply had to build out from the existing infrastructure to connect residences. Eligible members could subscribe to symmetrical gigabit services for only $79.95 per month.

“We exceeded our goal of [pilot program] subscribers,” said Coleman, as quoted on the NAEC site, “and many have shared with us the benefits true broadband internet has brought to their families and businesses.”

What’s Next for NEXT?

Consolidated Cooperative (CC) of Delaware, Ohio, plans to bring Fiber-to-the-Home (FTTH) services to rural central Ohio residents as soon as this summer.

Multi-Service, Multi-Community

In March, CC announced it had changed its name from Consolidated Electric Cooperative to better reflect the organization's expansion of services. In addition to electric service, CC also provides natural gas, propane, community solar, and soon they will offer residential fiber optic connectivity. CC’s board came to the decision to offer fiber after a host of members said they needed a solution for their current underwhelming Internet access and incentives to keep businesses buzzing in their area.

CC has served rural and farming communities north of Columbus since the 1930s. It currently provides electric in Delaware and Morrow counties, as well as slices of six other surrounding counties. It also provides some fiber access to area school districts and businesses through its brand Enlite, partially by harnessing CC’s electric infrastructure. 

Last October in a Facebook post, CC cited a member survey wherein “many members in our serving area report insufficient access to reliable Internet service.” The co-op says it's broken ground on constructing its new fiber network earlier this spring, and will begin offering services sometime in June for select high-need clients in western Delaware County. Consolidated Fiber offers an interactive map of the anticipated coverage zone, with color coding that indicates the status of each area. 

Gauging the Scope of Interest

Bartow, Florida, has owned and operated its own fiber network for years as a way to connect municipal facilities and offer high-quality connectivity to a few select businesses. Now, they’re on the verge of expanding use of their fiber by developing a pilot project to connect more businesses and also residents.

A Recurring Theme

Back in 2013, the City Commission had begun a serious investigation of the possibilities. The city has had continuing plans to use fiber infrastructure for smart metering for Bartow’s electric service. Many people in the community have also been unhappy with service provided by Comcast, the incumbent cable ISP.

The City Manager George Long also recently told the Ledger, that the municipal electric utility will use an upgraded electric system to allow customers more flexibility in managing their accounts and conserving energy.

“This program will include the ability to pay for utilities in incremental portions.”

For example, a resident would be able to purchase a week’s worth of power at a time, in advance, rather than have to pay a month’s bill at once.

“There are people who need to be able to do that,” he said, “and this will give them that flexibility.”

The $2.5 million needed for the pilot has already been included in the budget for the year. The next step for the City Commission is to determine the location of the pilot project; community leaders have estimated that the pilot will serve approximately 1,000 premises. They intend to address the matter in June at a workshop.

Bartow

The county seat in Polk County, Bartow, is in the central area of the state and home to more than 19,000 people. Industries such as phosphate mining, citrus production, and honey production play key roles in the economy. They’re also around 50 miles away from Walt Disney World and Busch Gardens Tampa Bay, which makes tourism another important economic driver. 

The Proof Is in the Pilot

Last fall, the northern Minnesota community of Ely took up a feasibility study to determine the possibilities of better connectivity with publicly owned Internet infrastructure. They also wanted to explore local interest in investment. After conducting a survey and reviewing the situation, local officials are contemplating moving ahead with two pilot projects.

A Big Demand

Citizens’ group, Ely Area Broadband Coalition (Ely ABC) and the Ely Economic Development Authority (EEDA) collaborated to manage the feasibility study process. In 2016, the Blandin Foundation, the Iron Range Resources Rehabilitation Board (IRRRB), and St. Louis County awarded the city $25,000 which they’ve dedicated toward their efforts to improve local connectivity.

In order to gauge the community’s current feeling about the quality and cost of the services they purchase from area cable and DSL providers, the Ely ABC and the EEDA encouraged area residents and businesses to compete a survey last fall. They wanted evidence to share with potential funding sources that the community was not being served. Community leaders also expected the results to help them decide which direction to take moving forward.

At a recent EEDA meeting, members discussed the survey results and the potential pilot projects.

“We want to see how people are satisfied with what they have and what they feel the needs are,” said Harold Langowski, the city’s clerk-treasurer. “Right now we are assuming everybody wants faster broadband. and that they’re not satisfied with what we have. But we’re only hearing that from people on the committee.”

In an attempt to negatively influence public opinion, the incumbent cable ISP in West Plains, Missouri, was recently caught masquerading behind a phony citizens group. A real group of locals who support the community’s efforts discovered the astroturf connection and, with no way to deny their involvement, Fidelity Communications tried to rationalize away their subversive tactics to poison the project.

The Needs Of West Plains

About a year ago, we connected with City Administrator Tom Stehn, who described the situation in the south central town of about 12,000 people. Stehn told the story of how in 2015, the city decided to connect its municipal facilities with fiber and how, when word got out about the project, people in the business community approached the city. Even though local businesses could get cable Internet access, rates were up to three times higher than similar services in urban areas. There were also reliability issues that interfered with local commerce.

West Plains had also experienced significant job losses in recent years when several employers left town or closed shop. The city considered a fiber network an economic development tool and a way to keep the local hospital and MSU campus connected with high-quality connectivity. Stehn told Christopher that when new businesses considered moving to West Plains, one of the five questions they always asked was, “What kind of Internet access do you have?” It made good sense to expand the original plan to offer local businesses access to the publicly owned network.

West Plains was offering symmetrical connections to local businesses early in 2017 and had even started offering gigabit service.

The Pilot And The Incumbent

The city’s effort to bring better connectivity to a wide range of businesses and residents included a pilot project in West Plains’s Southern Hills district. In the fall of 2017, the city offered gigabit Fiber-to-the-Home (FTTH) connectivity to approximately 80 businesses and 14 residences as a way to work out potential issues and refine their services.

Owensboro’s municipal fiber network could begin serving more customers this spring as it moves from pilot to citywide project.

Fiber Pilot Success Leads to Expansion

The residential Fiber-to-the-Home (FTTH) pilot project began in 2016 serving only a single neighborhood. Now, after a successful first phase, Owensboro Municipal Utility (OMU) is installing new fiber along the electrical grid and urging potential customers to sign up for the expanded service.

The city itself has been utilizing fiber infrastructure to support electrical grid functionality since the late 1990s. OMUfibernet was originally conceived in 1999 to better serve the business communities needs. After recognizing the need for similar improvements for households, their residential FTTH pilot began in 2016 by connecting 500 residents with gigabit symmetrical Internet service. The pilot also allowed business’ to lease fiber, giving them greater flexibility in data transport speeds.

Humble Roots

The first municipal network in the country was established in Kentucky in the 1980s. Those humble beginnings have led to a state with an impressive residential FTTH network coverage. Often, deploying a well-crafted pilot project like OMU’s leads to successful citywide coverage. The Electric Plant Board in Franklin, Kentucky, unveiled a similar project in May, but we've seen these FTTH pilots happen in many communities. Rural cooperatives increasingly use pilot projects to perfect their designs and systems when they decide to offer Internet access to members.

Taylor Electric Cooperative, serving members in the Abilene, Texas region, is starting to offer Fiber-to-the-Home (FTTH) Internet access to members through its Access Fiber pilot project.

Four Phases Of The Pilot

Lance Maeda, Director of Information Technology at Taylor EC shared some details about the project that’s now serving a limited number of premises with plans to expand. The cooperative connected its first customer in early December 2017, about six months after the Board decided to pursue the project.

The cooperative is currently working on the first of four phases. This phase brings service to an apartment complex and two residential subdivisions, one of which is located adjacent to a Taylor EC satellite office where they will house electronics for the network. Engineers considered their plan a way to deploy this part of the network more cost effectively and more quickly. With this approach, they can concentrate on perfecting the service to members before moving on to the other phases.

They’ve recently finished the first subdivision where twelve members have signed up for FTTH services and are now focusing on the aerial connection to the apartment complex and the second neighborhood in the planned first phase. Homes in the second neighborhood are more sparsely located and, according to Maeda, Taylor EC will contend with a wide range of densities as they expand the project. Engineers have decided to house the fiber for the second half of the first phase in underground conduit where it will be protected from ice storms and tornados.

No Grants Or Loans

The cooperative received no grants or loans to fund the pilot, funding it entirely through operations; the cooperative is not ready to share the cost of the pilot project. At this point, the electric cooperative is not restricted to offering Internet access in specific areas, says Maeda, but telephone cooperatives that offer services in Texas can only offer Internet access in their own territories. Taylor EC is weighing the pros and cons of applying for FCC funds because accepting any funds might require also accepting limitations.

Customer Service, Natural Fit

Ellensburg, Washington, decided to pursue a fiber optic pilot project to serve local businesses almost a year ago, but they’ve encountered some bumps along the way. After revising the original plan and working with the state’s nonprofit Northwest Open Access Network (NoaNet), it looks like they’ll be moving forward.

The Logical Progression

Back in 2013, Ellensburg realized that they could save significantly by ending service from Charter Communications and investing in a publicly owned institutional network (I-Net) to bring connectivity to municipal facilities. The positive results from the investment inspired them to take the next step and look into expanding their investment to infrastructure for businesses and residents. Early this year, they decided to start with a pilot program that would build off their I-Net to bring 30 businesses fiber connectivity, including a few home-based businesses and telecommuters.

Financial Slow Downs

The city received a grant from the Distressed County Sales and Use Tax Infrastructure Improvement Program to fund the project; the City Council dedicated the $169,560 grant to the project.

When they asked for bids from three contractors that are listed on their small works roster, none were interested. Next, they chose a firm to negotiate with but the first quote of $415,000 was well above their budget. Even after negotiating the price down to $315,000, the City Council was hard pressed on their next move.

In October, the city’s Utility Advisory Committee recommended they consider reducing the area to be served in the pilot project to reduce the cost of the deployment. They chose to let the bid expire.

The NoaNet Connection