On July 4th, Sandy, Oregon’s municipal fiber-optic network, SandyNet, permanently increased the speed of its entry-level Internet package from 100 Megabits per second (Mbps) to 300 Mbps at no additional cost to subscribers.

The city announced the speed boost for its $39.95 per month tier in a recent press release, calling it “one of the best deals in the nation.” SandyNet customers witness blazing fast download speeds at affordable prices and benefit from symmetrical upload speeds, allowing them to seamlessly interact with the cloud and work from home. 

Sandy is still home the “$60 Gig” (see price chart), one of the premier gigabit Internet offers in the nation. Without an electric utility, SandyNet’s unique model can be applied to “Anytown, USA.”

Read our report on Sandy, SandyNet Goes Gig: A Model for Anytown, USA, for details on the community's Fiber-to-the Home (FTTH) and fixed wireless networks and listen to Chris interview Sandy officials in Community Broadband Bits Podcast Episode 167.

Check out our video on Sandy:

Lake Oswego School District (LOSD) in Oregon is set to make an investment that will save up to $301,000 per year in telecommunications costs - its own dark fiber network.

To Lease Or To Own? There Is No Question!

LOSD is the latest in a string of local schools that have chosen to invest in fiber infrastructure for long-term savings. Caswell County, North Carolina, is also investing in dark fiber with an eye on the future. Because the school district will own the network, they will no longer be surprised by unexpected rate hikes, making budgeting easier. The money they save can be directed toward other programs and, because it is dark fiber, they are only restricted by the equipment they install and the bandwidth agreements they enter into with Internet Service Providers (ISPs). Some schools choose to become ISPs themselves or join collaborations in which they can purchase bandwidth collectively to save even more. 

According to Joe Forelock, the district’s assistant superintendent for academic and student services, “This is a long-term investment for the health of the district over the next many, many years.” Once the network is in place, it will cost approximately $36,720 annually to maintain it, which is 89 percent less than what Comcast plans to charge LOSD for the 2016 - 2017 school year. 

We want to note that Comcast tripled their rates from the 2015 - 16 school year, in part because the 2016 - 17 contract was only for a year while the dark fiber network is being constructed. With no competition in the region, Comcast has broad practical authority to decide what LOSD will pay. “Right now, Comcast is essentially the only game in town in many communities," Morelock says, "including LO."

Clackamas County will install the $1.54 million network; 40 percent of the total cost will be reimbursed through E-rate, the federal program for schools that pays for Internet access and certain infrastructure expenses.

“After six years, if costs remain the same and do not increase, or decrease for that matter, the district will save $181,000 per year in connectivity costs with the E-rate discount, or $301,000 per year if E-rate were to disappear,” Morelock says.

Connecting In Clackamas

EPB customers love the fast, affordable, reliable Internet access they get from their muni and they appreciate the way its smart-grid helps them save money on their electric bill. According to a new J.D. Power report, their municipal utility is also the highest rated mid-size utility in the South for customer service and reliability.

Double Honors

Just a month ago, Consumer Reports magazine rated EPB the best TV and Internet access utility in the county for customer satisfaction, as chosen by a reader survey. The J.D. Power report went on to rank EPB number two in the country in the category of municipal or investor-owned electric utility.

The Times Free Press reports that in 2015 EPB Fiber Optics earned a net income of $23.5 million while the electric division earned $3.5 million. EPB President David Wade said that the smart-grid has reduced power outages by 60 percent and contributed to customer satisfaction by enhancing reliability of the system.

"The lesson that utilities can learn from other high-performing service providers is that to excel you need a culture that puts customers and employees first," said John Hazen, senior director of the utility practice at J.D. Power. "And because customer expectations continue to increase, you need to have a mindset of continuous improvement to keep up."

It looks like EPB has that lesson committed to memory. From the Time Free press article:

EPB Chairman Joe Ferguson said the favorable grades from EPB customers reflect the utility's local ownership, public service and management focus on serving the customer.

Depending on where you live, you may be able to choose between two or three big name ISPs. No matter which one you ultimately select, you might face some difficulty obtaining the kind of service you deserve. If you know what to expect, it’s easier to prepare yourself and, in the event you DO have a choice, pick the one that’s right for you.

BroadbandSearch has likened transparency in the telecommunications industry to nutrition information on food packaging. They have produced a set of “Nutrition Labels” for your Internet access diet.

They describe the project:

We believe that anything that makes buying broadband Internet service easier is a good thing, and for that reason we've created these ready-made broadband nutrition labels to help you choose from the biggest providers in the nation. 

Here is Comcast’s Xfinity label, a big provider in our Minneapolis area.

Of course, rates from Xfinity and other providers vary from place to place and they offer introductory deals that depend on a number of factors. For more on how BroadbandSearch obtained their data, check out their Sources page.

Now that the FCC’s network neutrality rules have been challenged and upheld in the Appellate Court, providers are required to be more transparent. These labels can help them share the information that subscribers need to make informed decisions. Check out the complete set at BroadbandSearch.

The East-Central Vermont Community Fiber-Optic Network (EC Fiber) recently announced plans to increase speeds across tiers with no increase in prices.

Changes will look like this:

• "Basic" will increase from 7 to 10 Megabits per second (Mbps)
• "Standard" will increase from 20 to 25 Mbps
• "Ultra" will double from 50 to 100
• The new "Wicked" plan will increase from 100 to 500 AND will include a price decrease. (Current subscribers to the Wicked tier who pay for 400 Mbps will also get the bump up to 500 Mbps and the price decrease.)

All speeds from EC Fiber are symmetrical so both download and upload are equally fast.

Self-Funded at the Start

Twenty-four communities in Vermont make up the consortium which began in 2009. The towns joined forces to deploy a regional Fiber-to-the-Home (FTTH) network when large corporate incumbent providers chose to invest elsewhere. Slow DSL was the best option in the area and local residents, businesses, and local institutions needed better connectivity.

Individual investors funded the initial network buildout but last year a new Vermont law took affect that allows towns to create "communications union districts." EC Fiber now functions under such a governance structure and organization officials expect to more easily attract larger investors and borrow at lower interest rates. EC Fiber hopes to answer requests to expand beyond its 24 member towns.

Characteristic Altruism

Increasing speeds with little or no rate increases is typical of publicly owned network communities. Tullahoma's LightTUBe, Chattanooga's EPB Fiber, and Lafayette's LUS Fiber have done it, often with little or no fanfare.

For seniors, low-income residents, and the disabled in Saint Paul, Minnesota, a Comcast discount within the city's franchise agreement is not all it was cracked up to be. The Pioneer Press recently reported that, as eligible subscribers seek the ten percent discount guaranteed by the agreement, they are finding the devil is in the details - or lack of them.

This is a warning to those who attempt to negotiate with Comcast for better service. Comcast may make deals that it knows are unenforceable. 

"No Discount For You!"

For years, Comcast held the only franchise agreement with the city of St. Paul. In 2015, the city entered into a new agreement with the cable provider and, as in the past, the provider agreed to offer discounts for low-income and senior subscribers. Such concessions are common because a franchise agreement gives a provider easy access to a pool of subscribers.

It seems like a fair deal, but where there is a way to squirm out of a commitment, Comcast will wriggle its way out. 

Comcast is refusing to provide the discount when subscribers bundle services, which are typically offered at reduced prices. Because the contract is silent on the issue of combining discounts, the city of approximately 298,000 has decided it will not challenge Comcast's interpretation:

The company notes that the ten percent senior discount applies only to the cable portion of a customer's bill. Comcast has maintained that it is under no legal obligation to combine discounts or promotions, and that bundled services provide a steeper discount anyway.

Subscribers who want to take advantage of the discounts will have to prove their senior status and/or their low-income status. In order to do so, Comcast representatives have been requesting a copy of a driver's license or state issued i.d. 

CenturyLink Picks Up the Baton

After a rocky start and a long period of transition, the Roanoke Valley Broadband Authority in Virginia is preparing for the years ahead. Hoping to snag schools, hospitals, government offices, and Internet carriers with their prices, the Broadband Authority just released its proposed rate structure. 

They expect to complete construction of five major sections of the fiber network by early March. Starting in mid-April, customers will have service. The proposed rates are as follows:

• Dark Fiber: $40-$100 per strand mile depending on whether the institution is a nonprofit
• Transport Service (requires a 2 year term): speeds between 10 Megabits-per-second (Mbps) - 200 Gigabits-per-second (Gbps) for $350 - $4,510 
• Dedicated Internet Service (requires a 2 year term): 10Mbps - 1Gbps for $550 - $5,687 

The full preliminary proposed rate structure [PDF] is available from the Broadband Authority’s website.

The Authority will hold a public hearing on Friday, March 18 at 8:30 a.m. on the rate structure. After the public hearing, the board may request to adopt the preliminary proposed rates. Local news has the rest:

In July, the Columbus Telephone Company (CTC), a cooperative in rural Cherokee County, Kansas, announced plans to expand its fiber-to-the-home network to the nearby city of Pittsburg. 

When CTC built the fiber network in 2004, it was the first 100% fiber-optic network in the state. This expansion marks the first time the coop has expanded outside Cherokee County, located in the southeast corner of the Sunflower State. 

New Branding for New Expansion

Last year, CTC announced the creation of Optic Communications, a new brand the company started to expand beyond their original footprint. The news of the expansion to Pittsburg comes after the network’s first expansion project last year. They built a fiber-optic ring that now links together Cherokee County’s three major cities: Columbus, Galena, and Baxter Springs. The coop has also acquired Parcom, LLC, the leading Verizon retailer in the region.

Subscription Details

Residential rates for stand alone Internet access from Optic Communications are $40 for 10 Megabits per second (Mbps), $50 for 20 Mbps, $65 for 50 Mbps, and $90 for 100 Mbps. All speeds are the same for both upload and download. Gigabit service is also available but rates determined on a case-by-case basis. Optic also offers customized bundles including subscription options for any combination of Internet access, phone, and cable TV service. 

Rates for the different bundled packages vary based on the number of cable TV channels the customer wants, access to DVR and HD capability, and which tier of phone service. The network also offers designated Internet access and phone rates for business customers.

A Long History of Innovation

The people in this rural community have a long legacy of telecommunications innovation. In 1905, a group of Columbus-based farmers started the CTC coop to bring telephone service to their rural homes. Throughout the 20th century, CTC provided phone service to people living within the 2.4 square mile serving area within the City of Columbus.

Tullahoma Utilities Board LightTUBe customers are once again receiving a special holiday gift via the municipal fiber network. As of December 5th, subscribers got a boost in speeds with no boost in price.

From the LightTUBe Facebook page:

More good news is on the way after the first of the year. According to General Manager Brian Skelton, rates for the two highest tiers will decrease. Symmetrical gigabit Internet service will drop from $99.95 per month to $89.95 per month and 200 Megabits per second (Mbps) symmetrical Internet service will decrease from $79.95 per month to $74.95 per month.

Unlike the big corporate providers that increase rates whenever the opportunity arises, Tullahoma prefers to increase speeds for free and sometimes even lower rates. Publicly owned networks focus on serving the community rather than maximizing profits; the decision to increase speeds and lower prices comports with their mission.

Happy Holidays, LightTUBe subscribers!