The reasons why municipalities and cooperatives build community-owned broadband networks are numerous, often fueled by years of frustration with the spotty, expensive service offered by the big monopoly incumbents.

In northern Minnesota earlier this month, we came across yet another example of why an increasing number of localities are finding publicly-owned, locally-controlled telecommunication infrastructure so appealing: the “profits” don’t get funneled into the pockets of distant shareholders but are instead reinvested back into the local economy.

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In the case of Paul Bunyan Communications, the “profits” are shared with its members.

Earlier this month, the Bemidji-based telephone cooperative – which serves 30,000 members spread across its 6,000-square-mile service area – announced it is returning over $3 million to its members this year.

Capital Credit Retirements

As the cooperative explained in a recent press release:

“Paul Bunyan Communications is a not-for-profit company that strives to provide the highest quality service at the most affordable rates. As a cooperative, membership in Paul Bunyan Communications includes the opportunity to share in the financial success of the company.”

Maine’s state broadband office, the Maine Connectivity Authority (MCA), has unveiled $9.6 million in new grant awards to help bring affordable fiber to 15,561 homes and businesses across 12 widely underserved communities in the Pine Tree state.

According to the announcement by the MCA, the grants will primarily be focused on leveraging public-private partnerships to drive fiber into unserved locations in Waldo and Lincoln Counties.

The grants are part of the MCA’s Partnerships for Enabling Middle Mile Program (PEMM), which addresses large-scale, regional broadband needs by leveraging middle mile infrastructure.

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Lincoln County saw a grant award of $6 million matched by $24.3 million in private and public investment including county ARPA funds (which the MCA notes was the “highest percentage of financial commitment from any public-private partnership awarded through an MCA program to date”).

The deployment, which is expected to begin in 2025, involves a partnership between Lincoln County and Consolidated Communications and will bring fiber that passes 14,436 homes and businesses in Woolwich (in Sagadahoc County), Wiscasset, Alna, Dresden, Boothbay, Edgecomb, Waldoboro, Whitefield and Nobleboro.

“This is probably the most exciting thing since cable TV came into any of these towns,” Evan Goodkowsky, broadband infrastructure consultant for Coastal Maine Regional Broadband, told the Lincoln County News.

After two years enmeshed in the unglamorous work of coalition-building, speed test data collection, and pushing state leaders to invest in better telecommunication infrastructure across Oakland’s most disadvantaged neighborhoods, digital equity advocates in the East Bay city are finally seeing the fruits of their labor pay off.

The city was recently awarded a $15 million grant from the state’s $2 billion dollar Federal Funding Account, administered by the California Public Utilities Commission (CPUC).

The grant will fund the construction of a city-owned, open-access, hybrid middle mile/last mile fiber network – one of a half-dozen grant awards the CPUC approved in the first round of funding, most of which went to support community broadband initiatives.

Courtesy of federal Rescue Plan dollars, the infusion of cash will allow the city to deploy nearly 13 miles of new middle mile 144-count fiber, upgrade almost 12 miles of existing city-owned fiber, and add 9 miles of new last mile fiber connections. As the city’s network is built, it will be connected to the state’s new massive open access middle mile network now under construction.

The FFA grants are part of California’s larger Broadband For All initiative, a $6 billion effort aimed at seeding competition and expanding broadband access across the Golden State.

The Oakland project not only paves the way for the city to connect 14 community anchor institutions (CAIs) and nine public safety buildings, it will also expand high-speed Internet access to thousands of unserved and underserved addresses in West and East Oakland.

Fort Collins, Colorado has repeatedly won awards for being a trailblazer in the municipal fiber space, and local subscribers continue to take notice. The city-owned and operated Connexion network operation just announced it has passed the 20,000 subscriber mark, after nabbing a significant new wave of state and federal funding for expansion earlier this year.

Fort Collins began thinking about a citywide fiber deployment as early as 2012. By 2015, locals had voted to exempt the city from a counterproductive state law restricting communities from building their own broadband networks.

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Construction of the municipal network began in 2018. Subscribers began to connect to the network in 2019, and by 2023 fiber service was available to every last home and business in the city of 169,000.

Thanks to local leaders, city residents now have access to some of the fastest, most affordable broadband available anywhere, including symmetrical 1 gigabit per second (Gbps) service for $70 a month; symmetrical 2 Gbps service for $100 a month; and symmetrical 10 Gbps service for $200 a month. Connexion service comes with no usage caps or long-term contracts.

As part of its celebration of reaching 20,000 subscribers, Connexion officials say they will give away a year of free Internet access to 20 subscribers chosen at random. 

To mark the occasion, Chad Crager, Executive Director of Fort Collins Connexion, said:

U.S. News & World Report recently ranked Brownsville, Texas as one of best places to live in the Lone Star State and as one of the most affordable places to retire.

Now – as the border city continues to make progress on an ambitious revitalization initiative – it is adding to its “best, most affordable” resume by transforming the digital landscape with a citywide fiber network to bring fast, reliable, and affordable Internet service to its nearly 200,000 residents.

The effort is being launched on the back of a city-owned middle mile fiber backbone and partnership with Lit Fiber to build out last mile service, operating as Lit Fiber BTX.

“We just lit up our first subscriber and will have 10,000 locations-passed by the end of the year,” Rene Gonzalez, Lit Fiber’s Senior Vice President of Policy and Regulatory Affairs, told ILSR this week.

“Brownsville was a place that had been neglected. But now, SpaceX is here. We are here. It’s exciting.”

The excitement was palpable last week at the BTX Demo Center in downtown Brownsville where city and Lit Fiber officials held a “special community social” to celebrate service getting turned on for the first LIT Fiber BTX subscriber and to showcase what the network will offer city residents and businesses moving forward.

Central Virginia Electric Cooperative’s (CVEC) Firefly Broadband subsidiary has been awarded a new $12.2 million grant from the state of Virginia. The award will help fund a major update to an already massive effort to extend affordable broadband to vast swaths of rural Virginia.

According to a cooperative announcement, the $12.2 million in Virginia Telecommunication Initiative (VATI) grant funding will be used to help fund a broader $48.6 million partnership with Rappahannock Electric Cooperative, Dominion Energy, and county governments.

These current VATI funds were largely made possible by federal COVID relief legislation passed in 2021. Such ARPA (American Rescue Plan Act) funding saw fewer overall restrictions and greater flexibility than infrastructure bill funding (BEAD) authorized the same year, resulting in states more quickly doling out funding for emerging broadband deployments.

“The fiber construction project will span approximately two years, covering 603 miles and reaching nearly 6,000 additional eligible locations in the counties of Amherst, Appomattox, Buckingham, Campbell, Fluvanna, Goochland, Greene, Louisa, Madison, and Powhatan,” CVEC said of the plan.

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CVEC and Firefly’s expansion into unserved Virginia comes after the cooperative first finished an ambitious, $130 million plan to install over 4,500 miles of fiber-optic cable across 14 counties, providing broadband internet access to all of its 39,000 members.

Imperial, Lassen, and Plumas Counties are among the first recipients of California’s $2 billion Last Mile Federal Funding Account Grant Program (FFA). The cities of Oakland, Fremont, and San Francisco have also been awarded significant state awards.

The FAA grants are part of California’s ambitious Broadband For All initiative, a $6 billion effort aimed at dramatically boosting broadband competition and access across the Golden State.

All told, the California Public Utilities Commission (CPUC) awarded 11 FFA grants totaling over $86.6 million. Prominent awardees from this first round include publicly-owned broadband projects: the Golden State Connect Authority (GSCA) – a joint-powers broadband authority comprising 40 rural California counties – and Plumas Sierra Telecommunications for projects across Imperial, Lassen, and Plumas Counties.

“These projects will build community-based, future-proof, and equity-focused broadband infrastructure across California,” said CPUC President Alice Reynolds. “The Federal Funding Account – and these projects – are a shining example of our state’s Broadband For All values and objectives.”

The popular Vermont Communications Union District (CUD) Northwest Fiberworx (NWFX) has received a $20.2 million infusion in state American Rescue Plan Act dollars to extend affordable fiber broadband into long-underserved regions of the Green Mountain State.

The St. Albans-based CUD is a nonprofit special purpose municipality with 22 member towns. Its latest build will connect 3,800 unserved and underserved households in Franklin and Grand Isle counties in the Northwest part of the state.

Great Works Internet Vermont (GWI VT) will design the network and manage the operations, though Fiberworx will own the finished build.

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“We have a unique model, that of which we will build, own and maintain a fiber-to-the-premise open-access network,” Northwest Fiberworx Network Operations Manager, Mary Kay Raymond said in a statement.

The new $20.2 million grant awarded late last month by the Vermont Community Broadband Board (VCCB), was made possible by 2021 federal COVID relief funding courtesy of the American Rescue Plan Act.

“Northwest Fiberworx and their partner Great Works Internet Vermont have found a way to bring service where others would not,” VCBB Deputy Director Rob Fish said of the award.

“They’re building a sustainable network to serve Vermonters for decades to come.”

As states gear up to administer federal BEAD funds from the bipartisan infrastructure law, a handful of states are already making significant investments in municipal broadband using federal Rescue Plan dollars.

California, Maine, Vermont, and New York have each established grant programs that center municipal broadband projects (mostly fiber builds) – with New York being the most recent state to announce more than $70 million in grant awards through its ConnectALL Municipal Infrastructure Grant Program (MIP).

Courtesy of the U.S. Treasury’s Capital Projects Fund, the awards are part of a $228 million initiative to bring high-quality Internet connectivity and consumer-friendly choice to New York communities long-stranded on the wrong side of the digital divide.

The towns of Dryden and Caroline, New York have been awarded a new $8.9 million broadband grant courtesy of the New York State ConnectALL program. The award will help deliver affordable fiber capable of symmetrical speeds up to 10 gigabits per second (Gbps) to residents of both towns, which until now, had been trapped on the wrong side of the digital divide.

Launched two years ago, Dryden officials have told ISLR they’re making steady inroads on municipally-owned fiber deployment to the town of 14,500. Now they’re looking to expand the popular local broadband network further into the town of nearby Caroline.

According to an announcement by Dryden Fiber, this latest grant award will help fund the construction of over 125 miles of new fiber to reach 2,650 new residences in Dryden and Caroline. The first customers in Caroline are expected to be online sometime within the next twelve months.

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“I find a real partnership between the Town of Dryden, Town of Caroline, and the New York State ConnectALL Office,” Dryden Fiber Executive Director, David Makar says of the award. “Years of hard work and seed planting from elected officials, citizen volunteers, and private partner businesses are now showing up ready to provide top-tier quality broadband service for the residents of Dryden and Caroline.”