With Big Telecom’s assault-on-competition campaign as loud (and misleading) as ever, a small municipal broadband utility in Massachusetts is quietly showcasing one of the many reasons why building publicly-owned, locally controlled broadband infrastructure is gaining in popularity, racking up awards, and earning high subscriber satisfaction rates in communities across the nation.

With an eye on keeping local dollars close to home for community investments, last week the Westfield City Council voted to approve an $11.1 million bond for a new athletic track and field at the local high school, thanks to the success of Westfield Gas & Electric’s broadband subsidiary Whip City Fiber. And though the return on investment may not be as eye-popping as the $2.7 billion Chattanooga's municipal network, EPB Fiber, has reaped in Tennessee, Westfield officials hailed the community investment as a “huge moment” for local residents.

In a recently published piece in The American Prospect, Sean Gonsalves, ILSR's Community Broadband Networks Initiative Associate Director for Communications, reports on four cities across the U.S. that are well prepared to deal with the demise of the Affordable Connectivity Program (ACP).  

The article – titled "The Municipal Broadband Solution" – begins by laying out why Congress created the popular program and how letting the ACP go bankrupt undermines the national "Internet For All" Initiative now underway. However, while digital equity advocates across the nation rightly lament the demise of the program, the focus of the article is on cities that have figured out how to deliver afforable high-quality Internet access even without the ACP.   

Here's a few excerpts:

Congress created the ACP to soften a harsh reality: Americans pay among the highest prices for broadband of any developed nation in the world, leaving tens of millions unable to afford internet service—something experts have long noted is a telltale sign of a broken market dominated by monopoly providers, and is at the very heart of why the U.S. digital divide is as massive as it is.

However, although federal lawmakers have known for over a year that the fund would be bankrupt by this spring, GOP congressional leaders have not budged on even bipartisan attempts to save the ACP, prompting the Federal Communications Commission (FCC) to announce in January that the agency was being forced to wind down the popular program.

It’s a major setback for the “Internet for All” effort, especially in light of a recent FCC survey that found 29 percent of ACP beneficiaries would be left without any home internet service whatsoever without the benefit, in an age when internet connectivity is a necessity for meaningful participation in 21st-century society.

As the new year begins, the Institute for Local Self-Reliance (ILSR) announced today its latest tally of municipal broadband networks which shows a dramatic surge in the number of communities building publicly-owned, locally controlled high-speed Internet infrastructure over the last three years.

Since January 1, 2021, at least 47 new municipal networks have come online with dozens of other projects still in the planning or pre-construction phase, which includes the possibility of building 40 new municipal networks in California alone.

Lots happening for Digital Inclusion Week 2023, which kicks off this Monday. One free online event that will be of particular interest for digital equity advocates across the nation is the next National Digital Inclusion Alliance (NDIA) and Institute for Local Self Reliance (ILSR) Building for Digital Equity (#B4DE) Livestream.

The popular virtual gathering will be held this Tuesday, Oct. 3, from 12 noon to 1:15 pm ET and will focus on the DIW-inspired theme: “Building Connected Communities: Sustaining Momentum.”

Attendees can still register here.

Building on the success of our previous events, we are excited to present another engaging agenda packed with practical insights and information digital inclusion practitioners can use while working in the trenches to bridge America’s yawning digital divide.

The agenda includes:

The Cleveland, Tennessee city council has approved the creation of the Cleveland Utilities Authority, the first step in allowing the city-owned utility to get into the broadband business. The goal: improve utilities services and provide city residents with faster, cheaper, and more reliable fiber access after years of neglect by often-apathetic regional telecom monopolies.

The plan, approved by the city council with a 7-2 vote (see full video here), paves the way for Cleveland’s city-owned utility, Cleveland Utilities, to begin deployment of a $72 million fiber network. The city’s plan, documented in detail here, is heavily inspired by the successes seen by Chattanooga, Tennessee’s publicly-owned utility, EPB.

Of the initial $72 million investment, $64 million will be funded by public-issued debt, and go towards construction of the network, which Cleveland Utilities states should begin in March of 2024 and be completed in “roughly two to three years” barring complications.

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An additional interdivisional loan of $8 Million will fund three years of operation for the new division. The utility’s plan is based on a 30 percent take rate, and aims to become cash flow positive between years 2-3, with all debt paid between years 10 and 12.

Once complete, the network will dramatically upgrade the utility’s energy monitoring and maintenance capabilities and deliver symmetrical fiber at speeds of 1 gigabit per second (Gbps) to local residents, and 10 Gbps to local area businesses.

There is a long-term solution to the broadband affordability gap that can be found in America’s first gig city. Thanks to Chattanooga’s wildly successful municipal broadband network, EPB Fiber, and its partnership with The Enterprise Center and Hamilton County Schools, over 15,000 low-income students in 8,500 households in Hamilton County are already getting a decade of free high-speed Internet service at no cost through a program known as HCS EdConnect.

It was borne out of the community’s response to the pandemic as local leaders looked to leverage an existing community asset to allow students to participate in distance learning, enable educators to expand educational opportunities outside the classroom, and support parents in pursuing their own professional and personal goals.

It’s an example of the one of the many benefits of having a locally-controlled, publicly-owned broadband network in which the infrastructure is seen as a public good like roads or a water system. It’s an approach that sees broadband infrastructure as something that should be accessible to everyone in the community and not used as a tool to simply benefit those who can afford it.

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We wanted to visually document the power that HCS EdConnect has had in transforming the lives of program participants by weaving together a compilation of video diaries that will give you a glimpse of how a visionary municipal network made this Tennessee county more resilient in the face of the pandemic and ensured no one in their community was left on the wrong side of the digital divide.

Big Telecom Band-Aid or Local Long-Term Solution?