Welcome to In Our View. From time to time, we use this space to explore new ideas and share our thoughts on recent events playing out across the digital landscape, as well as take the opportunity to draw attention to important but neglected broadband-related issues.

As federal funds to expand high-speed Internet access began to flow to states and local communities through the American Rescue Plan Act, and with billions more coming under the Infrastructure Investment and Jobs Act, Big Telecom is beginning to mount its expected opposition campaign designed to discourage federal (and state) decision-makers from prioritizing the building of publicly-owned networks.

Predictably, a centerpiece of this anti-municipal broadband campaign is the trotting out of well-worn - and thoroughly debunked - talking points, arguing that federal funding rules should not “encourage states to favor entities like non-profits and municipalities when choosing grant winners” because of their “well-documented propensity to fail at building and maintaining complex networks over time.” That’s what USTelecom, a trade organization representing big private Internet Service Providers (including the monopolies) wrote in a memo sent last week to President Biden, the FCC, cabinet secretaries, House and Senate members, Tribal leaders, as well as state broadband offices. 

Fairfield City, California is one of several cities in the state hoping to lean on both California’s broadband expansion initiative and the American Rescue Plan Act to provide faster, less expensive Internet access for city residents. The city says it will soon exit the research phase of its project and outline what they believe is the best path forward.

Last May the city council approved a plan to deploy a city-owned broadband network to expand broadband options in the city using Rescue Plan funds. Last August, the city launched a Broadband Action Planning (BAP) process to measure the scope of Internet access gaps and propose a solution, the results of which will soon be shared with the city council and the public.

Digital Divide Exacerbated

Like so many U.S. communities, the lack of affordable, equitable Internet access was particularly pronounced during the Covid crisis, the city said. 

“Access to broadband is becoming a prerequisite for improving economic and social welfare,” Fairfield City Communications Manager, Bill Way, told ILSR. “It provides a conduit to enable open and accessible government, enhance business competitiveness, and improve the quality of residents’ lives through improved delivery of services such as telework, telehealth, distance learning, and digital inclusion.”

The city recently completed a survey of community members, and the majority of the almost 300 responses cited limited competition and a lack of affordable Internet access options. 

“While a few comments were positive, most comments indicated lack of options, low speeds, and high costs,” Way said. “One specific consideration to note, although city staff coordinated with outside agencies to cast a broad reach for the survey, and utilized in-house engagement efforts, the responses did not generally capture vulnerable populations, most at-risk of being digitally excluded.”

Known for decades as the "Sweet Onion Capital of the World," tourists are still drawn to the rural farmlands of Toombs County in east central Georgia for the annual Vidalia Onion Festival.

But in early November 2021, officials from the member-owned electric cooperative Altamaha Electric Membership Corporation (EMC), flanked by an assortment of state and local officials, gathered at the sprawling L.G. Herndon Farms to announce the cultivation of a new venture. Through its newly created subsidiary Altamaha Fiber, the 86-year-old cooperative recently started construction of a fiber-to-the-home network to serve its 14,000 members who live in Toombs County and in the six neighboring counties (Emanuel, Johnson, Laurens, Montgomery, Tattnall, and Treutlen).

A 5,000-acre spread where they grow Vidalia onions, greens, soybeans, and corn (with over 1,600 cattle and a trucking company on the property), L.G. Herndon Farms was chosen as the site to make the announcement because the farm also happened to be the first business test customer for Altamaha Fiber.

Fiber-to-this-farm will allow for precision agriculture. And, as reported by The Advance, Phil Proctor, the engineer overseeing network construction, noted an added benefit, especially in an area that prizes college football in the ACC: “The lines coming into this building would allow owner Bo Herndon to live stream the Georgia Tech vs. Virginia Tech football game in vivid 4k resolution.”

Beyond the Herndon farm, Georgia Public Service Commissioner Jason Shaw spoke of the far ranging benefits of broadband for the region:

Sworn in earlier this month as president of the newly created Maine Connectivity Authority (MCA), Andrew Butcher says he is ready “to hit the ground running,” shepherding Maine’s efforts to bring universal access to high-speed Internet service in one of the most rural states in the nation.

The MCA, first proposed last year by Gov. Janet Mills and created through bipartisan legislation, will oversee the influx of federal funds the state has received from the American Rescue Plan Act and funds the state will get from the recently passed Infrastructure and Investment Jobs Act.

The quasi-governmental agency will remain distinct from (but coordinate with) the ConnectMaine Authority, which administers the state’s broadband grant programs.

In a statement released after Butcher was sworn-in, Gov. Mills said:

I am grateful for the Senate’s unanimous confirmation, which is a testament to their confidence in Andrew’s experience and expertise to lead the Maine Connectivity Authority. With Andrew at the helm, and with the Authority’s Board fully in place, it is time to build on our work to expand access to affordable broadband. Broadband is no longer a luxury; it is a necessity for every person, every family, and every business across Maine, and with today’s vote, we are taking another step forward in our effort to make universal broadband a reality for Maine people.

For his part, Butcher said he was “humbled by (the) unanimous confirmation of the Senate and am honored for the opportunity to serve Maine as we look to build the infrastructure of the future. We can get there from here. Many have forged the path to get here and I'm eager to get to work connecting everyone.”

Getting ‘there from here’

Hoping to leverage both a major new California broadband expansion initiative and American Rescue Plan (ARP) funds, Chico, California is moving forward with its plan to deliver affordable fiber broadband to historically-underserved city residents. 

The Chico city council last year began exploring using $4.8 million of the city’s $22 million in American Rescue Plan (ARP) funds to build a citywide fiber network. After spending $250,000 to research its options, the city council voted last week to move forward with the plan.

Dual Purposes

City leaders hope the network will provide more reliable connectivity for the first responders battling historic wildfires in the region. But like many communities, Chico was also spurred to action by telecom market failure, a lack of competition among regional monopolies, and the slow speeds, spotty coverage, and high prices that routinely result. 

“All of us have had experience with the existing incumbents and what we pay for versus what we get,” said Chico's Information Systems Manager Josh Marquis. “There's a lot of areas of our region that do not have access either through affordability gaps or through service gaps.”

Much like Fort Pierce, Florida, Chico will begin by running a pilot project first targeting lower income parts of the city like the Chapman Mulberry neighborhood. There, residents will be provided inexpensive access to symmetrical fiber either through the city or a partner, made cheaper still once the FCC’s Emergency Broadband Benefit (EBB) discounts are applied. 

It can be difficult to track all of the federal funding opportunities out there these days for communities looking to improve local Internet access. Even more difficult is parsing through all the ways they can be used, and charting a path to successfully weave them together to achieve local broadband goals. To help, we published our "Community Guide to Federal Funding Opportunities" in September, followed up by a look at what the recently passed Infrastructure Investment and Jobs Act (IIJA). 

But Common Sense Media recently put out a Federal Broadband Funding Guide packed with useful information and well worth bookmarking for future use. It breaks down the buckets of broadband money not only in the IIJA, but from the American Rescue Plan, the Consolidated Appropriations Act of 2021, and the other ongoing programs like USDA ReConnect. 

The value of the guide comes from Common Sense including clear and concise descriptions of the legislation, the amount of money allocated in them, who the funds will be flowing to and in what ways, what the deadline is to use the funds, and if they can be dedicated to infrastructure, devices, affordability, or equity and inclusion projects. Check it out here, or download below.

With all due respect to Federal Communications Commissioner Brendan Carr, his reaction to the Rescue Plan Act's State & Local Fiscal Recovery Fund (SLFRF) spending rules is way off base. As I wrote last week, the rules for broadband infrastructure spending are a good model for pushing down decision-making to the local level where people actually have the information to make informed decisions. (Doug Dawson recently also responded to Commissioner Carr’s statement, offering a response with some overlap of the points below.) 

The Final Rule from the Treasury Department gives broad discretion to local and state governments that choose to spend some of the SLFRF (SLurF-uRF) funds on broadband infrastructure. The earlier draft of rules made it more complicated for networks built to address urban affordability challenges.

However, in coming out against the rules, FCC Commissioner Carr is giving voice to the anger of the big cable and telephone monopolies that cities can, after collecting evidence of need, make broadband investments even in areas where those companies may be selling services already. Commissioner Carr may also be frustrated that he has been reduced to chirping from the sidelines on this issue because the previous FCC, under his party’s leadership, so badly bungled broadband subsidies in the Rural Digital Opportunity Fund (RDOF) that Congress decide NTIA should administer these funds and have the state distribute them. 

Nonetheless, the issues that Commissioner Carr raised are common talking points inside the Beltway and we feel that they need to be addressed. 

Background Note

The failure of the FCC to assemble an accurate data collection is many years in the making. No single presidential administration can take the full blame for it, but each of them could have corrected it. 

President Biden’s FCC is not yet fully assembled because of delays in appointment and in Senate confirmation, but it would not be reasonable to lay blame on the current FCC for the failures discussed below. That said, it is not clear that we are on a course for having better maps and data that will resolve these problems anytime soon.

Commissioner Carr’s Criticism 

Once a booming center of manufacturing, Allentown, PA (pop. 120,900) is looking to reinvigorate its economy by reinventing itself as a modern 21st century “smart city,” bringing fiber-to-the-home Internet connectivity to every resident in the city.

In October, the city proposed using $7 million of its $57 million in American Rescue Act Funds to aid in the deployment of a citywide FTTH network. City leaders hope the investment will help them reach the goal outlined in its strategic economic development plan to become a smart city by 2030.

The city will work with Iota Communications to conduct a feasibility study they hope will be complete in the coming months. While the possibility of a FTTH network is in the early stages for the city, the proposal signals a serious ambition to bridge the digital divide in the region.

Feeling The Way Forward

Allentown is one of three cities that make up a larger geographic area known as Lehigh Valley, with the other cities being Easton (pop. 27,000) and Bethlehem (pop. 75,500). For a while now, leaders in the valley have been talking about the digital divide and it’s been made clear with the pandemic that it can no longer be put on the backburner.

Pennsylvania lawmakers passed a law 2019 clearing the way for municipalities to have more of a say in how 5G is deployed in their communities. And while many local officials say the new law will help pave the way for Allentown to stay ahead of the curve, some have cautioned that a focus on 5G is a major distraction.

Communities across the United States got an unexpected gift from the Biden Administration last week in the form of additional flexibility to use Rescue Plan funds for needed broadband investments, particularly those focused on low-income neighborhoods in urban areas. 

When Congress developed and passed the American Rescue Plan Act, it tasked the Treasury Department with writing the rules for some key programs, including the State & Local Fiscal Recovery Funds (SLFRF). That program is distributing $350 billion to local and state governments, which can use it for a variety of purposes that include broadband infrastructure and digital inclusion efforts.

Treasury released an Interim Final Rule in May, 2021, detailing how local governments would be allowed to invest in broadband. I promptly freaked out, at the restrictions and complications that I (and others) feared would result in local governments backing away from needed broadband investments due to fears of being out of compliance with the rule. 

After we worked with numerous local leaders and the National League of Cities to explain the problems we saw in the proposed rule, Treasury released updated guidance in the form of a Q&A document to explain how local governments would be able to build and partner for needed networks. 

Given the many challenges the Biden Administration has had to deal with, we did not expect significant new changes to the Rescue Plan rules around the SLFRF. But after many months of deliberations, the Treasury Department has resolved all of the concerns that we identified as areas of concern in May. 

As we explain below, local governments have wide latitude to use SLFRF funds for a variety of needed broadband infrastructure investments, especially to resolve affordability challenges.

Summary and TL;DR

While a national debate rages over immigration and the border wall, just 30 miles north of the U.S.-Mexico border, Harlingen city officials are coming together to plan the building of a bridge – across the digital divide deep in the heart of the Rio Grande Valley.

When Harlingen (pop. 75,000) was founded at the turn of the 20th century, it established itself as a prominent commerce and transportation hub – the “Capital of the Rio Grande Valley” at “the crossroads of South Texas.” Over the years, thanks to its fertile delta soil, the cultivation of citrus fruit, grain, and cotton became a major part of the local economy. Today, however, the biggest industry in the second most populous city in Cameron County is healthcare.

As attractive as Harlingen has become to residents and visitors – with its extensive park system and tropical bird-watcher’s paradise (the city happens to be located where two primary avian flyways converge) – one thing the city lacks is adequate access to broadband, which is particularly acute among households with school-aged children.

Pandemic Spurs City into Action

That realization was the impetus behind a recent city commission vote to move forward with a feasibility study to determine how the city might build a broadband network and whether it should rely on fiber, fixed wireless, or a mix of deployment technologies to modernize Harlingen’s telecommunications infrastructure.

“What brought this to our attention was of course the pandemic,” City Manager Gabriel Gonzalez told Valley Central News. “When the school district had to go to virtual learning, we found out that there were students and some families that did not have access to (the) Internet.”