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The State of State Preemption: Stalled – But Moving In More Competitive Direction

As the federal government makes unprecedented investments to expand high-speed access to the Internet, unbeknownst to most outside the broadband industry is that nearly a third of the states in the U.S. have preemption laws in place that either prevent or restrict local municipalities from building and operating publicly-owned, locally-controlled networks.

Currently, there are 16 states across the U.S. (listed below) with these monopoly-protecting, anti-competition preemption laws in place.

These states maintain these laws, despite the fact that wherever municipal broadband networks or other forms of community-owned networks operate, the service they deliver residents and businesses almost always offers faster connection speeds, more reliable service, and lower prices.

In numerous cases, municipal broadband networks are able to provide low-cost or free service to low-income households even in the absence of the now expired federal Affordable Connectivity Program (ACP). And for several years in a row now, municipal networks consistently rank higher in terms of consumer satisfaction and performance in comparison to the big monopoly Internet service providers, as PCMag and Consumer Reports have documented time and time again.

Nevertheless, these preemption laws remain in 16 states, enacted at the behest of Big Cable and Telecom lobbyists, many of whom have ghost written the statutes, in an effort to protect ISP monopolies from competition.

The Infrastructure Law Was Supposed to Move the Preemption Needle But …

KC Fiber Innovates in North Kansas City - Community Broadband Bits Episode 157

Every now and then, we stumble across something, read it twice, and then decide we need to verify it. In North Kansas City, a municipal fiber network operating in partnership with KC Fiber, is delivering a gig to residents at no ongoing charge after a reasonable one-time fee. To get the story, our interview this week for Community Broadband Bits is with Brooks Brown, Managing Partner of KC Fiber. KC Fiber is now running the North Kansas City municipal fiber network, liNKCity. 

The network delivers a free gigabit to the schools and after a one-time fee of $50-$300 (depending on desired connection capacity) residents can get a high quality fiber Internet connection with no additional charges for 10 years. KC Fiber is not your ordinary ISP, coming from the data center world where it does business as Data Shack. We discuss how this background makes it easier for KC Fiber to offer the gigabit at no ongoing cost in our interview. Read the rest of our coverage of North Kansas City

This show is 16 minutes long and can be played on this page or via Apple Podcasts or the tool of your choice using this feed.

Transcript below.

We want your feedback and suggestions for the show-please e-mail us or leave a comment below.

Listen to other episodes here or view all episodes in our index. See other podcasts from the Institute for Local Self-Reliance here.

Thanks to bkfm-b-side for the music, licensed using Creative Commons. The song is "Raise Your Hands."