The USDA's ReConnect Program to expand broadband in rural areas has been awarding funding for several weeks now; electric and telephone cooperatives have received significant awards. In North Carolina, Atlantic Telephone Membership Corporation (ATMC) recently learned that their application for ReConnect funds has been granted and the cooperative will receive $7.9 million toward expanding their Fiber-to-the-Home (FTTH) service.

Celebrating in Columbus County

Cooperative CEO and General Manager Keith Holden, USDA State Director for North Carolina Robert Hosford, and Chief of the Waccamaw Siouan Tribe Michael Jacobs gathered at the Tribe Headquarters in Bolton to announce the award and discuss the project. ATMC will match the USDA grant with an additional $7.9 million, rather than take a loan from the ReConnect program. The total cost of the project is around $15.87 million and will deploy FTTH to more than 2,700 premises, including homes and more than 50 businesses. The infrastructure will also serve three critical community facilities, ten educational facilities, and 23 agricultural operations in northern Columbus County. 

At the event, Hosford noted that better connectivity will help agricultural establishments in the region, one of the main sectors of the local economy. 

“The health and vibrance of rural communities most usually is from farmers and forestry in this state,” Hosford said. “If those small communities are healthy, that means their farming communities are healthy, and this is just another tool in our toolbox to help these rural communities.” 

Hosford said the agriculture industry has struggled in recent months due to ongoing trade disputes, so any boost is a welcome one.

ATMC will use the funding to build out to Tabor City, Hallsboro, Lake Waccamaw, Bolton, and areas north of Whiteville.

Other Grant Sources 

Originally published in 2017, our report, Cooperatives Fiberize Rural America: A Trusted Model for the Internet Era, focuses on cooperatives as a proven model for deploying fiber optic Internet access across the country, especially in rural areas. An update in the spring of 2019 included additional information about the rate at which co-ops are expanding Internet service. Now we’ve updated the report with a new map and personal stories from areas where co-ops have drastically impacted local life.

Download the updated report [PDF] here.

All versions of the report can be accessed from the Reports Archive for this report.

Some highlights from the third edition of Cooperatives Fiberize Rural America include:

• More than 110 rural electric co-ops have embarked on fiber optic projects to increase Internet access for their members, a number that is growing rapidly from just a handful in 2012.
• 31.3 percent of the fiber service available in rural areas is provided by rural cooperatives.
• Personal anecdotes from Michigan, Virginia, Minnesota, and Missouri residents attest to the far-reaching benefits of cooperatives’ expansion into Internet service.
• A new map shows where rural cooperatives are planning to expand fiber Internet service.

Co-ops have proven that this is a model that works. With increased support from federal and state governments, they will continue to connect rural Americans to economic and educational opportunities otherwise denied to them. 

Read Cooperatives Fiberize Rural America: A Trusted Model For The Internet Era [PDF] here.

The Blandin Broadband Communities (BBC) program from the Blandin Foundation has been helping local cities, counties, tribes, and other self-identified communities of interest or place take steps to meet technology goals since 2013. The foundation is once again seeking participant communities and is accepting applications to be part of the 2020-2021 program cohort.

Download the BBC Application Instructions here for more information on how to apply to the program. The application deadline is January 24th.

Helping Communities Meet Their Goals

Bernadine Joselyn, Director of Public Policy and Engagement at the Blandin Foundation alerted us to the search for participating communities. In an email, Bernadine stated:

This program emphasizes broadband adoption and use in rural communities through the provision of leadership and project development facilitation services as well as project funding of up to $75,000. Project examples include public Wi-Fi access, business technology assessment and training, workforce training, online community and business marketing, online government services and other community generated projects. Communities are required to create a steering team to oversee the effort over the 18-24 month program period 

For communities that have quality broadband services in place, this program can showcase the value of broadband network deployment. For communities working to improve their broadband networks, Blandin Broadband Communities can provide a platform for building community consensus that enhanced broadband networks are critical to a community’s future.

Working for Other Communities Across Minnesota

Paul Bunyan Communication’s fiber network, GigaZone, continues to expand in Minnesota and is now offering gigabit connectivity in the Big Falls area. The cooperative is one of an increasing number of co-ops, both telephone and electric, that are picking up the slack in rural areas where large, corporate Internet access companies don't find the case for investing in communities that are not densely populated.

The cooperative has a history of expansion thanks in part due to their own contributions and grants like the Minnesota Border-to-Border grant. They also have offered to upgrade every school within its service area to gigabit Internet speeds with no extra charge and the presence of high-quality Internet access from Paul Bunyan Communications has contributed to economic development in the region. 

Members who are already subscribers but not yet signed up for gigabit service can choose to upgrade and can add more options:

GigaZone service options include unprecedented Broadband Internet speeds of up to 1000 Mbps – a Gigabit. Members who subscribe to GigaZone Broadband can also add PBTV Fusion and/or low cost unlimited long distance service. All current service options also remain available to cooperative members within the GigaZone.

Current routers may not be able to support the capacity increase and to help, the cooperative is offering their own Wi-Fi router to subscribers. The router is free to all new GigaZeone customers for the first six months, with a minimal charge thereafter.

Check out the GigaZone availability map to see where the service is available and where the co-op plans to deploy in the future.

Tombigbee Electric Power Association (TEPA) will become one of the first electric cooperatives in Mississippi to offer fast, reliable, affordable Fiber-to-the-Home (FTTH) connectivity to all of its 43,950 residential and commercial members. Made possible through the Mississippi Broadband Enabling Act of 2019 (HB 366), TEPA anticipates having coverage to all of its members, mostly in Lee and Itawamba counties, in four years. TEPA recently announced that Conexon will design and manage construction of the network. 

Change in Policy = Change in Possibilities

For more than 60 years, a Mississippi law had banned electric cooperatives from offering anything but electricity to their members. After pressure from the state Public Service Commission, Mississippi’s State Legislature passed HB 366 almost unanimously. The bipartisan legislation allows electric cooperatives to provide high-speed Internet access. Approximately two dozen electric cooperatives offer electric service in Mississippi. As a result, this single policy change has the potential to benefit roughly half of the state’s population.

When Governor Phil Bryant signed the bill into law in January 2019, he gave electric co-ops the lion's share of the credit for getting it through the legislature:

"This is a success for the Mississippi Legislature, for all those involved. If anyone wants to know how this bill got passed so quickly talk to the rural electric associations, because we do, and we listen to them."

Wheels in Motion

Several rural counties in east central Indiana, where high-quality Internet access isn't readily available, can anticipate changes in the future, thanks to their local electric cooperative. According to WANE.com, Heartland Rural Electric Member Cooperative (REMC) will be embarking on an expansive project to provide high-quality Internet access via 3,000 miles of new fiber optic infrastructure. The network will serve around 20,000 members in four counties.

WANE.com reports:

The [cooperative] borrowed money to fund the project. In addition, Heartland REMC received several multi-million dollar 10-year tax abatements from Huntington, Wabash, and Wells counties for the project.

The total amount for the project is estimated to be $51 million.

“It’s going to be a long payback period,” [CEO Robert] Pearson said, “but the one commitment we had to make and figure out how to do is to make sure it wasn’t put on the backs of our ratepayers. So no rates will ever be raised because of this. We feel like … there are enough people that want this in order to have the support to pay it back.”

Though Heartland REMC will be constructing the lines for the services, they are partnering with TWN Communications to provide and run the new internet service.

But if you’re not a Heartland REMC member, you can still receive the service. Everyone in the county that does not have high-speed internet can get it as long as the lines are in their area.

Pearson told WANE.com:

“It’s a need in the rural areas and no one else will do it....We at Heartland being a cooperative and servicing those members felt like if no one else is going to do it then we need to because high-speed internet in today’s society is crucial.”

Watch the story on the project, which the cooperative expects to finish in three years:

Located in the far north of New York State and with only around 3,700 residents, Tupper Lake can enjoy the Adirondacks and natural beauty. Spectrum Cable and Verizon offer services in the community, but community leaders are exploring better options. The only way to begin is at the beginning, of course, and their Broadband Committee recently launched a survey for residents and business owners.

According to the Adirondack Daily Enterprise:

The survey will be mailed out to around 120 businesses already near the Development Authority of the North Country’s existing fiber optic line, and residents can fill it out online by visiting tupperlakeny.gov and clicking the “take the survey here” link before Dec. 31.

The 11-question survey is described as an “exploratory first step” in fiber optic expansion. DANC has already brought fiber optic internet access to Tupper Lake schools, the Wild Center nature museum and the Municipal Park, so the initial lines are already in the ground. 

The committee includes volunteers from local businesses, government, and community development organizations.

Fiber optic infrastructure from schools and other community anchor institutions have served as the foundation on which other communities have expanded networks to businesses, municipal facilities, and households. The federal E-rate Program provides funding to schools for telecommunications expenses, including infrastructure deployment, and is based on the percentage of students in a district that qualify for the free and reduced lunch program.

Places such as Ottawa and Chanute in Kansas both developed fiber optic networks for economic development with school fiber as an important foundation. Chanute decide this past summer to extend its publicly owned fiber infrastrucutre to two residential neighborhoods in order to develop a pilot Fiber-to-the-Home (FTTH) pilot project.

Alabama communities with lower population density haven’t attracted big national Internet access providers, but their electric cooperatives are increasingly picking up the slack. In recent months, yet another electric cooperative announced that “it’s about time” for Fiber-to-the-Home (FTTH) for members.

Members are Ready

With over 90 percent of members voting in favor, Joe Wheeler Electric Membership Cooperative (JWEMC) will soon be joining an increasing number of electric cooperatives providing access to broadband. JWEMC’s General Manager, George Kitchens, hopes to have the first customers connected by the fall of 2020 and all members on the network within five years. Kitchens notes that strong support from the community could expedite the timeline. Construction is expected to begin late next summer and the co-op will connect members in both Lawrence County and Morgan County.

“We have studied this internally for over a year,” he said. “We hope to have 18 substations and 1,000 customers hooked up in Year One, 3,800 customers in Year Two and between 3,000 and 5,000 annually Years Three through Five,” said Kitchens. 

JWEMC has predicted it will need 10,000 subscribers to break even. Currently, folks in rural Lawrence County depend on satellite Internet access, while those who live in the more densely populated areas of Moulton (pop. 3,200) and Town Creek (pop. 1,100) may have access to AT&T DSL or cable Internet access from Charter Communications. Kitchens indicated that the network could be finished in three years, if demand is high and the cooperative can manage a rigorous construction schedule.