About ten years ago, the city of Lincoln, Nebraska (pop. 285,000) began construction on a publicly owned conduit system it would eventually lease to Internet Service Provider (ISP) ALLO Communications to enable better Internet service options to residents. That project entered its final phase in the last two years, but local officials aren’t content to stop there.

Last fall, Lancaster County (pop. 316,000), of which Lincoln is the county seat, embarked on a new conduit system to multiply its success into the future. The expansion will build upon Lincoln’s network to initiate construction into the rural parts of the county and facilitate new connectivity options to three new cities, ten villages, two census-designated places, and nine unincorporated communities.

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Not Content to Sit Still

Lancaster County is situated in the southeastern corner of the state, and the second-most populous one in Nebraska.

Fixed broadband coverage, seen in the FCC Form 477 map below, shows the reality locals are contending with; good coverage in the city proper, but few options once you move into the countryside.

Even as high-speed Internet access is widely considered a basic utility akin to electricity and clean water, there are still 17 states with preemption laws that either ban publicly-owned broadband networks or have barriers that make it all but impossible for municipalities to compete with monopoly Internet Service Providers. This, despite the major incumbents having received billions in taxpayer subsidies over the years and having failed to deliver universally reliable and affordable connectivity.

However, as it has become increasingly clear that the private market alone is not going to solve America’s connectivity crisis, last year two states (Arkansas and Washington) rolled back their preemption laws that were protecting monopoly incumbent providers from competition, allowing local and regional governmental entities to build the telecommunications infrastructure their residents need.

Now, one Nebraska lawmaker has recently filed a bill that, if passed, would significantly remove his state’s current barriers to municipal broadband. Nebraska State Sen. Justin Wayne of Omaha filed LB916 last week with the state legislature’s Transportation and Telecommunications Committee.

As it stands now, according to the Coalition for Local Internet Choice (CLIC), Nebraska “generally prohibits agencies or political subdivisions of the state, other than public power utilities, from providing wholesale or retail broadband, Internet, telecommunications or cable service. Public power utilities are permanently prohibited from providing such services on a retail basis, and they can sell or lease dark fiber on a wholesale basis only under severely limited conditions. For example, a public power utility cannot sell or lease dark fiber at rates lower than the rates incumbents are charging in the market in question.” 

Bill to Let Local Communities Decide on Broadband

After three years in a row with similar results, PCMag’s “Fastest ISPs in America” for 2021 analysis shows a clear trend: community owned and/or operated broadband infrastructure supports networks which, today, handily beat the huge monopoly Internet Service Providers (ISPs) - cable and telephone alike – for sheer speed.

The latest list proves it. Of the ten-fastest ISPs in the country, all of them feature operators that either are cities themselves or use city-owned fiber or conduit to deliver service across whole or parts of their footprint. 

City-run networks making the list again this year include Longmont, Colorado (third); Chattanooga, Tennessee (sixth); and Cedar Falls, Iowa (seventh). Cedar Falls topped the list last year, but all three networks are regulars over the last three analyses done by the outlet. Broken down regionally, they are also joined by other municipal networks around the country, including FairlawnGig in Ohio and LUS Fiber in Louisiana.

When Lincoln, Nebraska, developed their extensive network of conduit back in 2012, they were working within the confines of restrictive state law to encourage better local connectivity. Jump ahead seven years and we find that the city has established a fruitful partnership with private sector partner ALLO Communications. The relationship has brought a long list of benefits to the community, but the latest will help nonprofit sector organizations — Lincoln and ALLO will provide free gigabit Internet access for 10 years to 75 local nonprofits.

The list contains 35 organizations that ALLO has already selected. The remaining 40 will be chosen through a lottery managed by the city’s Community Connect Program. In order to qualify, nonprofits must have fewer than 75 full-time employees, be certified as a 501(c)(3) tax-exempt organization, and have been operating for at least two years. There are other criteria that apply and interested local nonprofits can review the application here [PDF]. In January 2020, the city and ALLO will announce the list of nonprofits to receive the benefit. 

Local Control

The concept of offering the service to local nonprofits was an important element of the partnership between the city and the Internet access provider. Even though Nebraska’s state law prevented Lincoln from offering Internet access directly to the general public, the city recognized the need for fast, affordable, reliable connectivity. When large national providers didn’t provide the types of services businesses and residents needed, they made an investment that would encourage competition.

Lincoln’s conduit infrastructure investment has allowed them to gain a measure of control over connectivity in the community. They considered future needs and varying sectors of the community when they penned the partnership with ALLO, which led to the ability to support local nonprofits.

By extension, nonprofits will be able to divert more of their limited resources to the needs of the Lincoln community.  Cause for Paws, an organization focused on helping local shelter animals hopes to be one of the beneficiaries:

Since 2011, PCMag has collected speed data and written about the country’s Fastest ISPs based on download and upload results. This year’s results reflect, once again, that locations with publicly owned broadband infrastructure contribute to communities’ ability to offer faster connectivity.

How They Did It

PCMag asked readers to use a special speed test developed specifically for this reporting that measured download and upload speeds. PCMag's Speed Index assigned to each ISP represented 80 percent download speed and 20 percent upload speed. Filtering out non-U.S. tests, they ended up with 256,016 tests that applied to the comparisons. If, however, a location (for state and regional comparisons) or ISP had fewer than 100 tests, the folks at PCMag did not consider it a contender.

While editors further broke down results so as to stack major ISPs against each other in a head-to-head comparison, they also looked at all the results in a general comparison. PCMag broke down the results further by region and city. For more details on the results, check out the full article.

Munis New and Not-So-New

FairlawnGig in Ohio made the list this year, adding a third municipal Fiber-to-the-Home (FTTH) network to the list. The city’s retail service began serving residents with gigabit connectivity back in 2017, after firmly establishing their fiber services for local businesses.

When contemplating the investment, city leaders adopted the approach that their fiber optic network would be an essential piece of infrastructure on par with sewers or roads. Fairlawn used municipal bonds with no intention of turning a profit; they considered the network an investment that would keep the Akron suburb competitive. Residents, businesses, and institutions in Fairlawn, however, have enthusastically signed up for fast, reliable, connectivity where residents can get gigabit Internet access for $75 per month.

Lincoln, Nebraska, home of the University of Nebraska Cornhuskers, will soon boast another fan favorite — a citywide fiber network that will make gigabit speeds available to all residents and businesses.

The City of Lincoln and ALLO Communications, a Nebraska-based Internet service provider (ISP), are approaching the end of the deployment phase of their partnership aimed at building fiber out to every home and business in the city of about 285,000. To expand the fiber network, ALLO has leased access to Lincoln’s extensive conduit system, which hastened the buildout and lowered costs. With only minor construction remaining, all of Lincoln will soon have access to fast, affordable, reliable gigabit connectivity.

In November, ALLO’s President Brad Moline announced that the company would be “substantially done with boring and conduit placement” by the end of 2018. After that step, which is considered the most intrusive of the construction process, ALLO stated that they still needed to connect approximately 3,000 - 4,000 homes to fiber.

City Owned Conduit Leads the Way

Lincoln began its conduit project in earnest in 2012, taking advantage of downtown redevelopment to deploy conduit along public Rights-of-Way. As of 2016, the city had spent approximately $1.2 million building and maintaining the 300-mile-long conduit network.

On June 18th, PCMag came out with its list of “The Fastest ISPs of 2018.” The analysis looks at ISP performance in several different ways and provides a range of different side-by-side comparisons. The results prove that publicly owned infrastructure has in important role in bringing high-quality Internet access to Americans.

The Dakotas' Co-ops Rock

When taking a wide angle lens view of the fastest U.S. states results, we noticed that two of the top four states with the fastest ISPs were North Dakota and South Dakota. Rural cooperatives in these two states have excelled at deploying high-quality Internet access via fiber optic infrastructure. As a result, North Dakota and South Dakota have some of the most complete coverage of Fiber-to-the-Home (FTTH) Internet access and gigabit FTTH in the country. Notice all the coverage on our cooperative map:

Check out a larger map here.

Like rural electrification in the 1930s, cooperatives are taking on the task of bringing high-speed Internet service to members in rural areas. They live and work in the areas they serve. Big ISPs don’t consider sparsely populated areas suitable investment opportunities, so electric and telephone co-ops are repeating the approach of the 1930s, but this time with fiber networks. Dickey Rural Telephone Cooperative in North Dakota and Venture Communications Cooperative in South Dakota are only a few that have worked to get their members connected.

Ever since the FCC reversed network neutrality protections, an increasing number of local communities have started to wonder about the advantages of publicly owned Internet infrastructure, including conduit. At the Institute for Local Self-Reliance, we’ve received an uptick in requests for information from elected officials, community business leaders, and local citizens.

When folks are similarly curious about public-private partnerships, they wonder about whether or not a municipality or other form of local government can require a private sector partner ISP to adhere by the tenets of network neutrality. An agreement between public and private sector partners to bring better connectivity to a city or region is a contract between the involved parties; the FCC’s decision won't interfere.

Looking At Lincoln

Lincoln, Nebraska, has fine-tuned the art of working with private sector partners interested in using their publicly owned conduit for privately owned fiber. The city invested in an extensive conduit system back in 2012 to create an environment that would welcome private sector providers. Nelnet’s ALLO Communications uses the conduit to offer Fiber-to-the-Home (FTTH) in Lincoln. 

The city uses a Broadband Franchise agreement to allow ISPs non-exclusive use of their publicly owned conduit. In Section 4: Service Characteristics, Lincoln requires any private sector ISP that wishes to use their conduit to adhere by network neutrality rules, which they clearly spell out. You’ll notice that the city also imposes a “no data caps” rule:

Section 4: Service Characteristics. 

A. The System shall, at a minimum, provide the following capabilities and characteristics: 

1.Net Neutrality: In the provision of Broadband Service, Franchisee shall comply with the Open Internet regulations. 


2.No Blocking: Franchisee shall not block lawful content, applications, services, or non-harmful devices; and 


3.No Throttling: Franchisee shall not impair or degrade lawful Internet traffic on the basis of Internet content, application, or service, or the use of non-harmful devices; and