After searching for a suitable partner, the Village of Bald Head Island in North Carolina has reopened its RFP for a gigabit fiber network. Apparently, the community received four responses but no proposal provided the level of detail they require. 

In order to give respondents another opportunity and to offer new candidates a chance, Bald Head Island leaders chose to release the RFP a second time with additional questions and a responsibility matrix. No response will be considered without answers to these new appendices. All three documents are available on the Village website.

The Village of Bald Head Island is home to approximately 160 year-round residents, but numbers swell to 7,000 during the busy tourist season. Vacation homes and part-time residents bring the potential fiber service area up to 2,500 but incumbents AT&T and Tele-Media don't see the value of bringing fiber to such an environment. The StarNews Online described community leadership's frustration and decision to move forward:

"Broadband is not available on Bald Head Island," said Calvin Peck, the village's manager. "It just isn't, and none of the current providers have plans to invest the money to make it available, so the village council feels it's an important enough issue to spend village resources to make it happen."

While Bald Head Island looks for a partner it also plans to ask voters if they agree to pursue better broadband. Voters will decide on November 3rd if they support a $10 million bond issue. Community leaders will focus on revenue bonds, one of the most common ways to finance municipal network deployment. This mechanism shifts repayment to those who use the network, reducing financial risk to the community at large.

Clearly community leaders understand that the time to act is now:

In the center of Tennessee sits Murfreesboro, the fastest growing city in the state with 108,000 people and one of the fastest growing cities in the U.S. (Just 10 years ago there were only 68,000 residents.) Murfreesboro is also one of the next communities to show an interest in a publicly owned fiber network to improve connectivity.

In an August press release [PDF], Murfreesboro Electric Department (MED) described their existing 19-mile fiber infrastructure, used for communication and control purposes for the electricity distribution system. The fiber was deployed in 2008, says MED General Manager Steve Sax, and the utility is now making plans to use spare fibers for Internet connectivity. MED is in the process of expanding its network by an additional 20 miles.

Sax also stated that MED is working with Middle Tennessee State University to develop a fiber optics pilot project but did not offer details other than it is "very similar to what Google is doing in Nashville."

MED and the Middle Tennessee Electric Membership Cooperative (MTEMC) recently entered into negotiations for MTEMC to acquire the MED. The city of Murfreesboro is in the center of the MTEMC service area and the two have been duplicating efforts in some areas. The city and cooperative signed a memo of understanding in June and the process is moving forward slowly. MTEMC serves over 200,000 cooperative members in a four county service territory; the MED provides electricity to approximately 56,000 customers.

MTEMC does not offer telecommunications services at this time but according to a Daily News Journal article, the cooperative is investing in fiber:

"We have been working with an enterprise ... on a fiber network," said [Brad Gibson, MTEMC chief business officer] about the utility that covers Rutherford, Wilson, Williamson and Cannon counties.

MTEMC has contracted with a private company to install and manage its fiber network but the utility is also researching the possibility of developing its own network, he said.

"We are dedicated to fiber," Gibson said.

Winston-Salem struck up a smart deal with the North Carolina Department of Transportation in 2011. Four years later, that agreement allows the city to move forward with its vision for an I-Net.

The Winston-Salem Journal reports that the City Council recently approved $826,522 for networking equipment to light up city owned fiber installed by the NCDOT. The agency has been upgrading area traffic control systems, a project estimated at around $20 million. Winston-Salem took advantage of the opportunity and paid the agency $1.5 million to simultaneously install its own fiber in the state conduit.

“The city was able to have the network built at only the cost of the fiber,” [city information systems department Chief Officer Dennis] Newman said. “They (state traffic contractors) are running fiber optic cable all around the city to where all the traffic lights are at. This will enable us to connect to all facilities all over the city – fire stations, public safety centers, satellite police stations – right now there are about 40 locations that we have targeted to connect to.”

As is typically the case, Winston-Salem currently pays private providers for connections at each facility but when the new I-Net is up and running, they will be able to eliminate that expense. The new voice and high-speed network will outperform current connections, described in the article as "out-of-date." City officials also told the Journal that some municipal offices have no Internet access at all but will be connected to the new I-Net.

A number of other communities have taken advantage of partnerships with state and federal transportation agencies during traffic signal upgrades. Martin County, Florida; Aurora, Illinois; and Arlington, Virginia saved considerably by collaborating during similar projects.

Hudson, Ohio's upcoming municipal network, Velocity Broadband, may be serving commercial customers as early as September, reports the Hudson Hub Times. At a July 22nd Rotary Club meeting, Assistant City Manager Frank Comeriato presented details on the plan. The city has no plans to serve residents but once business services are in place, they may consider a residential build out.

The gigabit network, to be owned and operated by the city of Hudson, will be deployed incrementally. Incumbents Time Warner Cable and Windstream serve local businesses but a majority complain of unreliable connections and unaffordable prices in the few places where fiber is available.

Earlier this year, the city conducted a survey and businesses responded:

"They wanted better service and speed," [Comeriato] said. "After only two vendors responded to the city to offer the service, the city decided it could offer the service like it offers public power, water and other infrastructure."

Hudson officials realize that it connectivity is an essential service for economic development and that businesses have no qualms with relocating to places where they can get the bandwidth they need:

"Economic development is 80 percent retention, and Hudson businesses are unhappy with their current service, he added. "They want something like this."

Hudson Public Power has been preparing by training crews to deploy the infrastructure. Like other communities that have recently decided to invest in municipal networks, Hudson will focus only on Internet access and voice.

Earlier this year, the City Council approved the initial $800,000 capital expenditure to begin the deployment. According to Hudson Communications Manager Jody Roberts, the city expects to spend another $1.5 million in 2016 on infrastructure before they light the network, scheduled for 2016.

In the spring, we reported on a public private partnership agreement between the community of Carl Junction and Wi-Fi provider Aire Fiber. According to City Administrator, Steve Lawver, the City Council had second thoughts and pulled out of the deal.

Even though the partnership has ceased to be an option, the people of Carl Junction will still have better connectivity. Aire Fiber found the interest level was so intense that it will independently deploy the equipment to serve the community's 5.6 square miles and approximately 7,400 people.

As part of the abandoned partnership agreement, the city would have paid for and provided locations to mount necessary equipment. Aire Fiber would have handled installation, management, and technical aspects needed to keep the network up and running. In exchange, the city would have received 10 percent of the gross revenue from the network. The system would have cost an estimated $400,000 - $450,000 to deploy and both entities estimated just 10 percent of the market would have allowed them to break even.

Now the city has typical water tower lease agreements with Aire Fiber. Each tower mounting Aire Fiber equipment brings in $100 per month. 

Carl Junction has been searching for better Internet access for its businesses, schools, and residents for several years. In 2012 they commissioned a feasibility study and decided in 2013 to move forward with plans for a fiber network. Unfortunately, the community had to seek other options when it chose not fund the $5.2 million project.

As a post mortem, Lawver advises other city officials to take the time to educate elected officials and not rush the process, especially when the time comes for final approval. 

Our process from FTTH feasibility to this final agreement took 4 or 5 years.  Be patient. Understand that if you get down to the final agreement there is a good chance you may be the only person left that remembers the whole process.

After a feasibility study on the possibility of a municipal triple-play fiber network left Cleveland Utilities feeling "…not overly optimistic…" community leaders have decided to rethink their strategy. The utility board recently voted 5-0 to look deeper at a network that would offer only Internet and voice services.

Rather than study the feasibility of serving the entire community, CU wants to first try their hand at working on a limited area with a pilot project. The next step is to work with a consultant that will conduct a more focused feasibility study and develop a business plan.

In June, CU CEO Ken Webb told the board:

"I will go ahead and tell you that it's not overly optimistic about us being able to provide 'triple play' [Internet, television and phone] services," Webb said. "The capital requirements are extensive, and the startup cost could present issues."

…

"There is a possibility of offering services that are not full-blown services," Webb said. "There are a lot of decisions yet to be made, and a lot of review has yet to take place."

After more review of the study, Webb asked the board at the July meeting to consider further consideration for the pilot project, much like the process in Erwin, Tennessee. The Times Free Press covered the meeting where Webb reported that Erwin expected to break even on its pilot project once it took on 180 customers. After recently commencing the project, it quickly signed up 150 subscribers.

SandyNet has introduced some incredible fiber connectivity deals for local businesses. Like residents, businesses can now get gigabit service for $60 per month and 100 Mbps for $40 per month. The utility also continues to offer enterprise connections, with rates established on a case-by-case basis.

Speeds are symmetrical which can be a critical factor for businesses that often must upload large amounts of data to work with clients. 

Until SandyNet began to deploy the FTTH network, business customers that needed more bandwidth relied on the town's dedicated Wi-Fi service which offered advertised speeds of up to 30 Mbps download, however, that cost $175 per month.

Smaller businesses could sign up for traditional Wi-Fi - the system residents also used - but speeds maxed out at only 5 Mbps or 10 Mbps download. Prices were $25 per month and $35 per month respectively.

Wi-Fi business customers can now make the switch to fiber for no extra fee. Those that are new customers to SandyNet will need to pay a one-time $350 connection fee.

Hungry for more on the SandyNet story? For more on how they did it, check out our video Gig City Sandy: Home of the $60 Gig. You can also listen our interview with Joe Knapp in Episode #17 of the Community Broadband Bits podcast. 

According to a recent report in the Jackson Sun, the city of Jackson, Tennessee is now the seventh “Gig City” in the state of Tennessee. Jackson Energy Authority (JEA), Jackson’s municipal utility received the special recognition at a January business summit.  The Sun focuses on several existing and expected economic benefits that accompany municipal gigabit connectivity.

“These ultra-fast Internet speeds will help to assure innovation as it relates to the next generation of education, medical care, public safety and economic development,” JEA CEO John Ferrell said.

Ferrell also noted that ultra-fast Internet connectivity benefitted businesses in the Jackson community by allowing them to avoid excess inventory while still being able to provide customers with fast access to physical products when they need them.

"A good example is where an automotive supply company produces a part for a car at one plant — such as an interior headliner — and ships that part to the assembly plant to be installed in the car," Ferrell said. "Many times, this part is produced on the same day at one plant that it is installed at another plant."

Community leaders in Jackson hope their new Gig City status can help them to gain the same kind of economic development benefits that have come to places like Chattanooga, Tullahoma, and Morristown over the past several years. EPB told the Sun:

"The economic impact has been huge," J. Ed. Marston, vice president of the Electric Power Board in Chattanooga, said. "New companies have moved to Chattanooga, and a lot of investors, outside investors, are looking at Chattanooga."

Our report, Broadband at the Speed of Light: How Three Communities Built Next-Generation Networks, delves into Chattanooga’s story. Where communities invest in municipal networks, economic development almost always follows. Check out our Municipal Networks and Economic Development page for more examples.

Two more communities in Ohio and Colorado are seeking information through broadband feasibility studies.

The Aspen Daily News recently reported that Pitkin County has already completed phase one of its feasibility study. This past spring the primary Internet path coming into Aspen via CenturyLink fiber was severed causing widespread outage for 19 hours. The first half of the feasibility study sought ways to introduce a redundant path.

The first option was a 100 percent fiber solution and a hybrid fiber/microwave solution was proposed as an alternative. For option A, the consultants recommended a fiber backbone along Highway 82 with fiber lines running into Redstone, Marble, and Snowmass. Microwave could serve nearby Fryingpan Valley. Option B would travel the same route but make more use of microwave.

Early cost estimates:

Estimated operating costs for option A would be more than $122,000 per year, while option B would cost just over $92,000 annually. Yearly maintenance costs for the fiber-only model were projected at just under $62,000, and the hybrid model would run more than $123,000.

A survey or residents in several communities in Pitkin County indicated most are not happy with speeds or reliability of current Internet access. Approximately half of the region does not have broadband as defined by the FCC at 25 Mbps download and 3 Mbps upload. 

[One of the consultants] said that according to the survey, customer satisfaction in the area is “significantly low.” It also noted that 34 percent of responders said they run a business out of their home, and an additional 10 percent replied that they will start up an in-house business within the next three years.

Adams relayed that more than half of respondents felt that the county should build some sort of “state-of-the-art communications network.”

“It’s clear that the residents would like to see the county do something,” he said.

Businesses are now finding affordable connectivity in Eugene, Oregon, through a partnership between the city, the Lane Council of Governments (LCOG), and the Eugene Water and Electric Board (EWEB), reports the Register-Guard. A new pilot project has spurred gigabit Internet access in a small downtown area for as little as $100 per month.

According to the article, the city contributed $100,000, LCOG added $15,000, and EWEB spent $25,000 to fund last mile connections to two commercial locations. LCOG's contribution came from an $8.3 million BTOP grant.

The fiber shares conduit space with EWEB's electrical lines; the dark fiber is leased to private ISPs who provide retail services. XS Media and Hunter Communications are serving customers; other firms have expressed an interest in using the infrastructure.

Moonshadow Mobile, a firm that creates custom maps with massive amounts of data, saves money with the new connection while working more efficiently.

To upload just one of the large files Moonshadow works with daily — the California voter file — used to take more than an hour. Now it can be done in 77 seconds, [CEO Eimer] Boesjes said.

“This completely changes the way our data engineers work,” he said.

“It’s a huge cost savings, and it makes it much easier for us to do our work. We can do our work faster.”

The upgrade also will help spur innovation, he said.

“We can start developing tools that are tuned into fiber speeds that will be ubiquitous five to 10 years down the road, so that gives us a huge advantage,” Boesjes said.

The upgraded fiber also could bring more work and jobs to Eugene, he said.

“In December one of my customers said, ‘You can hire another system administrator in Eugene and we’ll move this work from Seattle to Eugene if you have fiber,’ and [at that time] I didn’t have fiber so that opportunity went away,” Boesjes said.