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Comcast Follows AT&T's Litigious Lead In Nashville

Comcast is the second Internet Service Provider (ISP) suing the mayor and metro government of Nashville, Tennessee (pop. 680,000) to stop a new ordinance to give streamline access to utility poles in the city, reports Cnet.com news.

Comcast’s October lawsuit over the Google Fiber-supported One Touch Make Ready ordinance (OTMR) comes on the heels of AT&T's legal action in late September. We wrote about AT&T’s lawsuit shortly after the filing.

Cnet.com reported that most of the utility poles are owned by Nashville Electric Service (NES) or AT&T, but Comcast has wires on many poles and has control over how these wires are handled. “When Google Fiber wants to attach new wires to a pole, it needs to wait for Comcast to move its wire to make room, and this is where the new ordinance becomes controversial.”

Comcast’s lawsuit, filed in U.S. District Court in the Middle District of Tennessee, contends the AT&T-owned poles fall under the purview of the Federal Communications Commission (FCC) and not the city, and that Nashville Metro Council lacked authority to regulate NES poles, according to a story in the Tennessean newspaper.  The telecommunications carrier is asking for a permanent injunction to stop enforcement of the ordinance. 

Comcast reproduces AT&T's argument in Nashville - that the poles are within federal jurisdiction so the city does not have the authority to enforce such an ordinance.

Reverse Preemption In Louisville

AT&T also filed a suit this past spring in Louisville, Kentucky, to stop the city from implementing a similar ordinance. As in Nashville, the city put the policy in place to encourage new entrants like Google by speeding along a cumbersome and time consuming make ready process.

In the Louisville case, however, the FCC submitted a Statement of Interest in late October addressing the issue of authority over poles. According to the document filed with the court:

BellSouth [AT&T] maintains in its motion for summary judgment that the Louisville Ordinance conflicts with, and is therefore preempted by, the federal pole attachment rules promulgated by the Commission under Section 224. That argument is wrong as a ma er of law. The federal pole attachment regulations do not apply in Kentucky because Kentucky has filed a certification invoking reverse-preemption under Section 224(c) and has thereby opted out of the federal pole attachment rules. 

The FCC exercises jurisdiction over pole attachments under Section 224 “only in states that do not so certify” that they regulate pole attachments…BellSouth is thus wrong to assert a conflict with the federal pole attachment rules in these circumstances. 

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As a result, the FCC has no jurisdiction over Kentucky’s poles. In fact, the Statement of Interest goes on to support OMTR policies, stating that: 

”As a general matter, promoting the deployment of competitive broadband infrastructure through one-touch make-ready policies is consonant with the goals of federal telecommunications policy, the Communications Act, and applicable FCC regulations.”

Nashville Leaders Press On 

Back in Nashville, officials expressed disappointment at Comcast’s lawsuit, but resolve at creating a better environment for competition.

In a statement, Nashville Mayor Megan Barry said:

“One Touch Make Ready has been litigated in the court of public opinion, and the public overwhelmingly supports this measure designed to speed up the deployment of high-speed fiber in Nashville. Now, we hope that this federal litigation is quickly resolved so that we can get on with the business of expanding access to gigabit Internet throughout Davidson County.”

FCC's New Privacy Rules Irk Big ISPs, Munis Mellow

Consumers should be able to expect a certain amount of privacy and recent rules adopted by the FCC are a step in the right direction. That step has also revealed some key differences between profit-driven national Internet service providers, smaller ISPs, and municipal networks. The different attitudes correspond with the different cultures, proving once again that small ISPs and munis have more than just profit in mind.

On October 27th, the FCC adopted an Order to allow ISP customers to determine how their data will be collected and used. According to the FCC, they made the decision in response to public comments about the concern for personal data protection.

The New Rules

Over the past few years, consumers have become savvy to the fact that ISPs have access to personal data and that they often sell that data to other companies for marketing purposes. Under Section 222 of Title II of the Communications Act, telecommunications carriers are bound to protect their subscribers’ private information. Because those rule are designed to change as technology changes, says the FCC and Congress, this same authority applies to private data collected by ISPs. 

The FCC decided to divide the permission of use of personal information based on type, categorizing information into “sensitive” and “non-sensitive.”

Sensitive information will require ISPs to obtain “opt-in” consent from subscribers, which will allow them to use and and share this type of information:

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  • Precise geo-location 
  • Children’s information
  • Health information 
  • Financial information
  • Social Security numbers
  • Web browsing history
  • App usage history
  • The content of communication 

Non-sensitive information would include all other information and customers would need to "opt-out" in order to prevent their ISPs from collecting such data. Examples of non-sensitive personal information include service tier information.

The new rules also require providers to follow “up-to-date and relevant industry best practices” in reference to managing security risks, take care to provide accountability and oversight regarding security, and dispose of personal data properly. These are only a sampling of the rules, which are not complicated but add another layer of undertaking to the role of provider. Check out this Fact Sheet from the FCC for more on the new rules.

Not All ISPs Are Big ISPs - Thank Goodness!

At first, we were concerned that these new rules might create more work for munis and small ISPs that are already heavily burdened with reporting requirements. For municipal utilities that provide other services as well, such as electric, gas, or water, another round of administrative requirements seemed especially taxing.

While national providers with thousands on their payrolls may have entire departments to deal with paperwork, municipal networks often exist in small communities and employ small staff. Regardless of the number of employees, they still must submit the same amount of information to the FCC. But we didn't hear any of them complaining about the new privacy protections.

Large providers began complaining about the new rules as soon as they were released, including David Cohen from Comcast, who said the new rules “will likely do more harm than good for consumers, competition, and innovation in the all-important internet ecosystem.” AT&T senior vice president described the rules as “illogical.” The rules, according to the big national providers are just too tough.

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Small ISPs and municipal networks are not known to sell customer data the way Comcast, AT&T, or CenturyLink do. In fact, we know of at least one, Xmission serving customers via the UTOPIA open access network, that has no problem telling the NSA to bugger off when they improperly ask for private data. On the other hand, AT&T is cozy in the NSA pocket, no warrant required. Local providers and munis are close to their customers, creating a higher level of accountability, which contributes to high scores in customer service.

We reached out to Xmission to get their opinion on the new privacy protections. Would they be difficult to implement? A burden? The company’s founder, Pete Ashdown told us it is “high time the government allowed individuals to take back their privacy” and that he supports the FCC ruling. We also talked with municipal networks in Iowa and Utah, but they did not report any potential problems with the rules.

If small providers have no problem respecting subscribers' privacy, why do big corporations like AT&T and Comcast complain so much? AT&T and Comcast see subscribers as numbers on a page to be transformed into dollar signs. Local providers and municipal networks consider them customers, community members, and neighbors.

Haunted Halloween Weekend: Broadband Trick Or Treat!

Are you spending the Halloween weekend watching scary movies on Netflix? Researching pagan rituals online? Scouring the web for last minute costume ideas? If you are don't have decent Internet access, even those simple tasks can be downright horrifying.

If you are trapped as a cable monopoly zombie, you understand the difference between Broadband Tricks or Treats. We created this graphic last year to celebrate the spooky differences between community networks and cable monopolies and it's too good to bury in a shallow grave! Here it is again...back from the (un)dead!

Trick or Treat - Subscriber reviews edition!

View a larger version of this graphic here [pdf]. Stay up to date on community networks with our newsletter!

Movie Monster Madness At MuniNetworks! Internet Terror Triple Feature!

Much like the the bone-chilling flicks celebrating eerie entertainment that dwells in the depths of our dark imaginations, monster cable and DSL Internet service providers strike terror in the hearts of subscribers…if they survive. Mesmerizing fees, hair-raising customer service, and shockingly slow connections can drive one to the brink of madness.

In celebration of Halloween 2016, our writers each selected a national ISP and reimagined it as a classic horror character. The results are horrifying! Read them here…if you dare!

 

AT&T’s Frankenmerger

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by Kate

This shocking film tells the horrific tale of a mad scientist in his quest to create the world’s largest telecommunications monopoly monster. The scientist’s abomination runs amok, gobbling up company after company, to create a horrifying monster conglomerate. Watch the monster terrorize towns across America as it imposes data caps, denies people access to low-cost programs, and refuses to upgrade infrastructure. What nightmare lies ahead? Will the townsfolk and their elected officials unite to stop the monster, before it acquires Time Warner? Watch and find out!

 

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The Mummy From Last CenturyLink

by Scott 

Archaeologists unearth the Last CenturyLink Mummy from a rural field of copper wires. Townspeople put the Mummy on display in Hard Luck City Hall. Little do they know the Last CenturyLink Mummy was once Pharaoh of DSL (Dreadfully Slow Line) service. Long ago, he was cursed by subscribers and doomed to remain in the slumber of purgatory, much like the DSL Internet access they endured. He awakes when he hears the City Council talk of launching a muni fiber network and summons his zombie lobbyist worshippers. Will the brave people of Hard Luck prevail against Last CenturyLink Mummy and his lobbyists from beyond the grave? Will Hard Luck finally get the Internet connectivity they need to banish last century technology forever? 

 

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Count Comcast

by hannah

The ancient Count Comcast rises from his coffin to hunt for blood at the throat of every subscriber. Rather than pointed teeth, this undead creature uses data caps, outrageous fees, and asinine customer service techniques to suck the life from elderly folks, low-income families, and people with disabilities. The Count uses his enormous wealth and dark army of lobbyists to hypnotize state legislators to do his bidding. Will Count Comcast succeed in his evil plan to ensnare every state legislature and destroy municipal networks for all eternity? Will Americans forever be captive to the evil of the cable undead? Only time will tell…

Whether you face the creepy Count, the moldy Mummy, or the fearsome Frankenmerger, we wish you a safe and Happy Halloween. Boo!

Movie poster pics of Dracula, the The Mummy, and Frankenstein are all in the public domain and all expertly adapted by Kate. Awesome work, Kate!

Photo of the Jack-o'-lanterns is also in the public domain.

Transcript: Community Broadband Bits Episode 223

This is episode 223 of the Community Broadband Bits podcast. Eleven communities in Northern Utah are now served by a regional open access fiber-optic network, UTOPIA. Perry City's Mayor Karen Cronin and UTOPIA's Executive Director Roger Timmerman join the show. Listen to this episode here.

Karen Cronin: We don't have the money that some of the lobbyists are getting from big companies, but we have a voice and I think that our legislatures will listen to local voices if they have the courage to step forward.

Lisa Gonzalez: This is episode 223 of the Community Broadband Bits podcast from the Institute for Local Self-Reliance. I'm Lisa Gonzalez. The Utah Telecommunications Open Infrastructure Agency, also known as UTOPIA, began serving north-central Utah in 2004. The regional open access fiber-optic network has had its share of challenges since launch, but has slogged through them to now bring healthy competition to residents and businesses in 11 communities. Joining Chris this week are the mayor of one of the UTOPIA cities, Karen Cronin from Perry. Roger Timmerman, executive director of UTOPIA, is also part of the conversation. Our guests share stories about how competition has benefited local businesses and residents. They also describe infrastructure sign-up choices they have as property owners in a UTOPIA community and what it's like to have more than one or two ISPs at your feet. Now here are Chris, Mayor Cronin from Perry, and Roger Timmerman, executive director of UTOPIA.

Christopher Mitchell: Welcome to another episode of the Community Broadband Bits podcast. I'm Chris Mitchell. Today I'm speaking with two wonderful guests from the state of Utah. Roger Timmerman is the executive director of UTOPIA, the Utah Telecommunications Open Infrastructure Agency. Welcome to the show.

Roger Timmerman: Thank you. Thanks for having me on.

Christopher Mitchell: Perry City mayor, Karen Cronin. Welcome to the show.

Karen Cronin: Thank you. I'm delighted to be part of the conversation.

Christopher Mitchell: I'm excited to talk more about what's happening in Utah today. You've all been trailblazers in open access approaches. Roger, I think you were only of the early trailblazers who's now back with UTOPIA. Today we'll talk about the results, particularly in one of the UTOPIA communities, Perry City. Let's start there. Mayor Cronin, can you please tell me about your community and the internet access you have there?

Karen Cronin: Yeah. Let's start with what the community is like. Perry City is a small city, about 5,000 residents. It's located about 50 miles north of Salt Lake City. Six months ago we had very limited options for internet. We had some of the neighborhoods who didn't have any option except for dial up. At my house, we were on a satellite system where I was getting 5Mb speed. Fast-forward a few months and we were able to connect into the direct line with UTOPIA, the direct fiber line, and I now have upwards of 250Mb of speed, as does the whole city. The city was built out in less than four months. We've gone from a dial-up system to the cutting edge of what's available.

Christopher Mitchell: Well, that's remarkable. I'm sure that there are many people listening who would just love to have that kind of capacity available. Roger, can you help fill in some of the gaps for people who might be unfamiliar with UTOPIA? What is it?

Roger Timmerman: UTOPIA, we're a group of 11 cities. Perry City is one of those cities. These are cities that felt like they were not being served by the incumbents. Just wasn't enough options. They felt the negative impact of businesses leaving their communities in some case and just not offering the type of connectivity that they felt was needed to develop businesses and residences. They got together, they created UTOPIA and UTOPIA's an interlocal governmental agency, which is made up of these cities, and they built a massive backbone to connect these cities together and can collectively bond for the construction and operations of this network. The reason they did it that way was if you think of a city the size of Perry City, it's a great city, but it's not very large. The ability to put into place the fiber of the home system and operate that, get providers in there, it would be very difficult for just one small city to do. Collectively, the cities could get an economy and scale together to attract service providers, to get an efficiency of operations that would make this work. UTOPIA's had a difficult path. Initially, it started up and ran into some funding obstacles. The cities have since decided, let's fix some of these things and move forward. It was about five or six years ago, we took down a new model and took down additional debt and with that we've been very successful so for the last six or seven years UTOPIA has actually been able to build networks where the revenues from the builds of those networks are covering all of the debt service for the cost of building those networks and so we are in a great state now where we are now covering all of our operational expenses and all of the incremental debt we've taken justifies and sustains the growth of the system. Well, Perry City is one of these cities that's benefited from that in the sense that it hasn't really cost Perry City any additional money other than their original membership in the system and the collective funding of the cities but we've been able to build out that entire city and we're building out very rapidly in other cities in parallel. The nice thing about Perry is the whole city is covered. They can all get the same gigabit service. We install gigabits to homes and businesses typically. Larger businesses will get 10 Gig. Some very large connections we support are 100 Gig. In a city like Perry, it's very rural, but they can attract enormous investment from a data center or a large business or an industrial partner or something because we can deliver 100 gigabit anywhere in that city and actually offer that in a redundant way because of this redundant backbone put in collectively by these cities.

Karen Cronin: In Perry City we have a great number of home businesses. The demographics of Perry City, although it's small, it has the highest education rate for its' members and a lot of those people work from home. Having this option has brought even more people into the city and we have people calling and telling me that they have now had their bosses ask them if they can work from home because their home connection is faster than their at work connections and they get more done.

Christopher Mitchell: That's remarkable. I always like to hear that. I have to say that one of the things I love about UTOPIA and Roger, I'm sure you can't pick favorites but I can, I love that UTOPIA gives small providers like Xmission an opportunity to have many more customers. Xmission has been a guest on this show before, I think they have wonderful privacy policies, very bull-ish. I like seeing cities that have small, historic ISPs like Brighamnet also being able to expand and get more customers and thrive. I think that's an important role from my point of view, that UTOPIA really allows local businesses to be very competitive with the big companies with Comcast and CenturyLink that I happen to have here, where I'm recording this and I know you have out there, that don't always meet local needs in a way a local provider can.

Roger Timmerman: I agree. That's a major part of why we do it the way we do it. Open Access is not easy and it's taken quite bit a of time for UTOPIA to have a good, stable, competitive environment of providers and today we have 10 companies that compete residentially and about 25 that compete on the business side of things. Perry by itself even if they had fibers at home they may not naturally attract competition on that system but because of the scale of UTOPIA it's big enough to attract this level of competition and enable lots of these local providers and also some bigger providers to all kind of compete under a fair fiber infrastructure put in place by some of the cities.

Karen Cronin: That point is so important because it creates such a win-win for the residents by having an open network system. It creates the competition and it requires the service to be great and the price to be competitive if they are going to stay on the system and be competitive but it also allows like you said local businesses to be able to play at the same arena that some of the big businesses do and have a fair shake so it is a win-win all the way around.

Christopher Mitchell: Mayor Cronin, do you know of any personal anecdotes of people who have talked about how they are amazed that Perry City has this incredible connectivity available to them and it's enabled them to succeed in ways they might not otherwise have been able to.

Karen Cronin: I can tell you about a business that produces things from the home and then sells them out. They were telling me that before their Internet power didn't allow them to have the mass marketing they wanted and be as responsive and have the service level that would sustain their business. Since they've been able to connect to UTOPIA and have the ability to shop around for what suited their business best as far as a provider, they've been able to see their Internet sales increase dramatically.

Christopher Mitchell: Roger, I'm curious. If I'm a resident or a business in Perry, getting connected to you is just a little more different to what most people are used to. Can you walk me through my options as a homeowner on how I'd possible connect to Utopia?

Roger Timmerman: If you live in an area where UTOPIA is available, you can go to our website, put in your address, and it will pull up and show you, here are the services available to you from 10 different companies. It's a shopping cart of services. So, what happens is you sign up for the infrastructure from UTOPIA and we present the retail offerings from our partnered service providers so you kind of sign two agreements. You're getting infrastructure from the city and UTOPIA collectively and then Internet or phone or video or whatever those services you want bundled from the service provider. So you, two pieces and then how you pay for your fiber connection, a lot of our customers will say, "well, I'll just lease that monthly for 30 bucks and there's a 2 year term so it looks a lot like what you'd get from other options". We have some people who take a different option and that's where they essentially own their fiber connection. They pay up front a larger amount, $2,750 is actually the amount and then they never pay for it again. They own their fiber and then it just becomes, a very low bill because then they're only paying $35 to their service provider and it'll never go up after that. If you're leasing the connection from us, it starts at about $65 a month for 250 Megabit connection. I say that as an example of what we have right now but we don't control those prices. The beauty of it is that it is competitive and those retail providers are free to change their prices whenever they want to be competitive. We struggle because we try to publish the pricing and then they change it. It's a struggle but it's also the beauty of competition is that they're constantly coming up with different promotions and lowering and raising and adding options and they have the freedom to do that and that's one of the beauties of open access.

Christopher Mitchell: One of the things as an outside observer that's impossible to miss is you have, in your region, a nonprofit organization that I suspect largely gets contributions from CenturyLink and Comcast that paints a picture that people in Utah are very frustrated and angry that UTOPIA wasn't able to pay its way in the way it was expected. Now, Mayor Cronin, I'm just curious. Do you get a sense from your citizens, are they glad UTOPIA exists or would they prefer that they didn't have these options and they didn't have to hear these claims that the network is not good?

Karen Cronin: I will be honest with you. As Roger has mentioned, it's had a tough start and it was a new idea, a very forward thinking idea and for the first few years we were paying into UTOPIA collectively as one of the original 11 member cities and we were getting 0 service and that was hard. We still get a lot of comments from residents but about 3 years ago we as the 11 cities came together and said we need to make this system work and we talked through several options and like Roger said we got to the point where we were able to start funding build out and things. Once we had the build out and once we took it to our residents which was last February and told them where we had come, I have heard nothing but positive, nothing but positive since February when we rolled it out. We had a town hall meeting, we told them where we had come and the obstacles we had overcome and at that point we were able to roll it out that it was totally optional. If people wanted it, great. If they didn't there wouldn't be any extra assessments to them. Once they saw the competitive advantage it gave them because of the number of people on the network and having the fiber direct to their home it has been phenomenal excitement in the city.

Christopher Mitchell: I'm not too surprised to hear that. I've seen that in other places as well. This is an infrastructure that's going to last a long time. I look back, a number of the airports that cities built many decades ago, they took a long time to break even but people were generally glad to have them available. One of the things people often realize is you were among the first to be doing this. The lessons you learned really helped a lot of other communities to be successful in terms of structuring their programs and learning lessons about how to move forward. So, I think, in some ways, the mistakes you made were a bit of a public service in terms of teaching others a lesson. One of the other things I want to talk about as we are running out of time with the time we have left, some of the problems you faced weren't your fault. The state made it hard on you. Roger, I'm wondering if you can tell us a little about the ways of which the state, I think, acting on behalf of the big companies that you're competing with, actually put its thumb on the scale to make your life more difficult.

Roger Timmerman: Yeah, one of the things was, the prohibition on us offering services directly. We like the idea of open access but it would be possible to provide some of the services directly while still allowing competition on the network. It was a big curveball at the UTOPIA cities to get legislation that showed up from a legislator that wasn't even in the cities involving UTOPIA that put all these restrictions on what cities could do and all this additional process and red tape that they'd have to go through to get the product in place. The legislation, what has been used as an example, since then, of how to go buy some legislation. It wasn't even in the conversation in Utah among citizens and legislators, it was brought in and given to legislators to push in behalf of a private interest.

Christopher Mitchell: Brendan Greeley wrote a great article in Business Week many years ago and it's titled, "Psst... Wanna Buy a Law?" If people Google that, I have no doubt they'll find it. It's exactly how you describe it and it's worth reading, but please continue.

Roger Timmerman: That was the initial obstacle. Open Access, we like it, it does provide a scalability issue. There's less dollars coming to UTOPIA to cover our investments. It's a good model, it's a more difficult model. The biggest problem UTOPIA has had has been financials. It's been a problem for us. Since that time, it seem like every year or two years another piece of legislation shows up trying to further restrict what we can do and it's a fight. We don't have a budget like the private companies do to go and lobby and push for influence at a legislation level. It's really an interesting contrast because among residents, populations in our cities, and businesses even, UTOPIA is extremely popular and the incumbents are some of the most hated companies in America. Along legislators, the incumbents are really popular, you can imagine why that is because of, whether it's campaign contributions or influence among different groups.

Christopher Mitchell: Weekly golf trips?

Roger Timmerman: It's night and day between the citizens and legislators and what their interactions are with the incumbents.

Christopher Mitchell: Mayor Cronin?

Karen Cronin: I remember a couple years ago when there was a piece of legislation that was going to pass that was going to greatly affect the way we could promote the UTOPIA's, the 11 cities and the 11 cities banded together and went to talk to the legislature. It was because of that, the local involvement that the legislators listened and gave us a bit more time and didn't pass that legislation. I can't emphasize enough how important it is -- if people want local control then the local elected officials need to be involved and make things happen. We don't have the money that some of the lobbyists are getting from big companies, but we have a voice and I think our legislators will listen to local voices if they have the courage to step forward.

Christopher Mitchell: I think that's a really good point. It's not enough to just be right, you have to make sure you're raising your voice up as local elected officials and just citizens to say this is our point of view. Because, as we discussed, the legislators, they hear from the big companies every day. They need to hear from multiple constituents every day on these issues as well in order to even just think they're similar in terms of important, in terms of policy preferences. I think we're about out of time but I'd love to give you another chance to say anything else you'd like to say as we finish up our discussion. Let me start with you Roger.

Roger Timmerman: It's an exciting time in the space of municipal fiber. What we've seen in our own area is that the demand for this service is higher than it's ever been. We started this thing back in 2002 and back then people were still trying to figure out what Fiber was and what the benefits were and there was a major population that didn't use it. Now it's a given. Everyone wants Internet connectivity and they don't just want it, they want good speeds and good service. Over time it's been legitimized and we've seen that in the form of increased demands and then we see, where's the rest of the industry, where's the incumbents and other options and it seems that they're actually falling further behind. We go back ten years and these guys weren't the most hated companies in America. Things have gotten worse for them, not better. Rather than upgrade and compete, we see an increased and deliberate effort to stop municipal progress building Fiber projects, and so it's good in the sense that the success and demand for municipal fibers have increased but there's an increased threat because there's a lot of work being done to preserve incumbent interests. It's great, we're seeing successes here. Our financials are better, we're in a position that we're actually growing faster than we have in our whole history. Things are good. We have other cities looking to partner with us in other ways and that wasn't a conversation we weren't able to have because of the past difficulties. I think you'll see UTOPIA continue to grow and be successful and I think you'll see efforts like UTOPIA across the country and have success.

Christopher Mitchell: Parting thoughts from Mayor Cronin?

Karen Cronin: I think in the world we live in today we are seeing the rate of technological advances is at warp speed. In order to be competitive and stay at the forefront, we need to allow the free enterprise system to work and not put legislation in place that may limit that free enterprise system. I would put Perry out there as one of the success stories. A small rural community of 5,000 and yet now we have the capability through the UTOPIA network and the open market to be able to have 100 Gigabit connections and redundancy and multiple providers and that puts us on the map to be able to support some of the biggest companies that are looking at trying to locate in the West. It's a great thing and we've benefitted enormously.

Christopher Mitchell: Thank you both for taking time to come on and share your experiences and the message of hope coming out of Northern Utah.

Karen Cronin: Thank you for allowing us to talk to you Chris.

Roger Timmerman: Thank you Chris.

Lisa Gonzalez: That was Mayor Cronin from Perry and Roger Timmerman, executive director of UTOPIA talking with Chris about the Utah Telecommunications Open Infrastructure Agency. Check out their website at UTOPIAnet.org to learn more. We also have a number of stories about UTOPIA on MuniNetworks.org. Remember, we have transcripts for this and other Community Broadband Bits podcasts available at MuniNetworks.org/BroadbandBits. Email us with your ideas for the show. Send a note to podcast@MuniNetworks.org. Follow Chris on Twitter, his handle is @CommunityNets. Follow MuniNetworks.org's stories on Twitter, the handle is @MuniNetworks. Subscribe to this podcast and all the podcasts in the ILSR Podcast Family on iTunes, Stitcher, or wherever else you get your Podcasts. Never miss out on our original research by also subscribing to our monthly newsletter at ILSR.org. Thank you to the group Mojo Monkeys for their song “Bodacious” licensed through Creative Commons. Thanks for listening to Episode 223 of the Community Broadband Bits Podcast.

Davis, CA, Issues RFP For Feasibility Study: Responses Due Oct. 31

The city of Davis, California, recently released a Request for Proposals (RFP) for a citywide fiber-optic feasibility study report. The community wants to consider the options for a Fiber-to-the-Home (FTTH) network. Responses are due October 31.

The scope of the work includes:

The study should provide an analysis of options for engineering, constructing, provisioning and operating a high speed citywide FTTP network. It should feature both physical and network transport layer components required to pass and potentially connect every home, business, apartment complex, and institutional building within the City of Davis. The analysis should also consider future use at strategic infill and edge points around the City in order to support network growth through the coming decades. 

Davis wants firms to consider public private partnerships, the city’s network as an open access infrastructure, and Davis is only an infrastructure provider.

In early 2015, a group of citizens formed DavisGIG to encourage community leaders to move forward by establishing a Broadband Advisory Task Force and the feasibility study. In March, Davis established a task force to examine the possibility of deploying a network to serve municipal facilities, community anchor institutions, businesses, and residents. Incumbents Comcast, AT&T, Omsoft, and non-profit Davis Community Network offer a wide range of services now and there is little consistency for the city’s 68,000 residents.

The University of California Davis (UCD) is a major employer, as is the State of California. According to the RFP, there is a growing entrepreneurial culture springing up in Davis due to the presence of UCD’s research environment. The community wants to feed that growth with a citywide, future-proof, FTTH network.

Important due dates:

  • Notice of Intent to Respond:  Thursday Sept. 22, 2016
  • RFP respondent questions due: Thursday Sept. 29, 2016
  • Answers to questions distributed: Friday Oct. 14, 2016
  • Proposals Due: Monday Oct. 31, 2016 at 3:00 p.m. PT

Send questions to Diane Parro, Chief Innovation Officer: clerkweb(at)cityofdavis.org.

Saint Louis Park is Prepared for the Fiber Future - Community Broadband Bits Podcast 219

Saint Louis Park, a compact community along the west side of Minneapolis, has built an impressive fiber network, a conduit system, and several deals with developers to ensure new apartment buildings will allow their tenants to choose among high speed Internet access providers. Chief Information Office Clint Pires joins me for Community Broadband Bits podcast 219.

In one of our longest episodes, we discuss how Saint Louis Park started by partnering with other key entities to start its own fiber network, connecting key anchor institutions. Years later, it partnered with a firm for citywide solar-powered Wi-Fi but that partner failed to perform, leaving the community a bit disheartened, but in no way cowed.

They continued to place conduit in the ground wherever possible and began striking deals with ISPs and landlords that began using the fiber and conduit to improve access for local businesses and residents. And they so impressed our previous podcast guest Travis Carter of US Internet, that he suggested we interview them for this show.

Clint Pires has learned many lessons over the years and now we hope other communities will take his wisdom to heart. Well-managed communities can make smart investments that will save taxpayer dollars and drive investment in better networks.

Read the transcript of the episode here.

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Thanks to Roller Genoa for the music, licensed using Creative Commons. The song is "Safe and Warm in Hunter's Arms."

Nashville: One Touch Make Ready Moves Forward

On September 6th, the Nashville Metro Council approved a proposed One Touch Make Ready (OTMR) ordinance by a wide margin of 32-7 on a roll call vote (computers were down). This was the second vote to advance the ordinance, designed to streamline deployment of fiber-optic networks in a city looking for better connectivity. Elected officials responded to Nashville residents who flooded their council members’ offices with emails.

The Nashville Metro Council will take up the ordinance one last time; passage could speed up competition in the country music capital. Google Fiber has been pushing for a OTMR, while incumbents AT&T and Comcast look for a non-legislative solution to the problem of the poles while protecting their positions as dominant Internet Service Players (ISPs).

Caught Between A Rock And A Hard Stick

The city of Nashville sits on limestone, a rock that cannot support the trenching and underground work of fiber deployment. The only other option is to use the utility poles. Eighty percent of the poles are owned by the public utility Nashville Electric Service (NES), but incumbent provider AT&T owns the other 20 percent. Google Fiber says it needs to attach fiber to 88,000 poles in Nashville to build its network and about half of those (44,000) need to be prepared to host their wires. 

Pole attachments are highly regulated, but there are still gray areas. Susan Crawford provides an overview of the policies and regulations on BackChannel; she accurately describes how poles can be weapons that guard monopoly position. Currently, each company that has equipment on the poles must send out a separate crew to move only their own equipment. This process can drag on for months. The OTMR ordinance is a deceptively simple solution to this delay. 

Deceptively Simple, But Regulated

At its simplest, OTMR means that one crew moves everything; the ordinance under debate in Nashville is actually more complicated than that. (Read the Nashville OTMR ordinance here.)

If Company A wants to add equipment to the poles, it still has to go through an attachment application process. Once approved, the owner of the pole (let's call them, PoleCo) can then require Company A to use specific contractors. 

If Company A rearranges or alters equipment that belongs to PoleCo or some other company that may have equipment on the pole, then they have to notify the owner of the equipment within 30 days. The company whose equipment has been altered, has another 30 days to conduct a field inspection with PoleCo.  

utility-pole-workers.jpg

If the pole requires complex work, then every company already on the pole gets 30 days notice to move their equipment. If those companies do not comply after 30 days, then Company A can perform the complex make-ready work. If there are any errors or problems from Company A's make-ready work, the companies already on the pole can recoup expenses. 

NES explained the basics of the current process and the idea behind OTMR in their newsletter. The public utility did not take a positive or negative position on the ordinance, choosing instead to focus on the final result:

"NES is dedicated and cooperative towards finding a resolution that will accommodate the efficient and effective deployment of broadband services that promote customer choice and competition and improve the lives of the citizens of Nashville."

The Incumbent Providers: Comcast and AT&T

Nashville Mayor Megan Barry has remained neutral on the policy, but has encouraged NES and the tech giants to reach a mutually beneficial solution for the good of the community. If the councilmembers approve the ordinance a final time, it will go to her desk for a signature.

AT&T may be preparing for a lawsuit against Nashville if this is the case. They already have an ongoing legal fight in Louisville, Kentucky, over OTMR. AT&T argues that the ordinance change would conflict with their contracts with NES and the union. The Nashville Metro Council Attorney Mike Jameson analyzed the ordinance for the Council and determined that Nashville clearly has the power to regulate the NES’s utility poles, but perhaps not the privately owned utility poles. 

Comcast, meanwhile, has claimed that the NES’s attachment application process is a source of delay (i.e. that Google Fiber is blaming the wrong process). Comcast is experiencing 90-100 days of processing for their applications to NES. The contractual obligation between Comcast and NES is 45 days to process applications, but Comcast has also “exponentially” exceeded the number of poles that they can apply for in a month under that contract, according to NES official Nick Thompson in the Tennessean.

Meanwhile, Councilmember Anthony Davis, a cosponsor of the OTMR ordinance also told The Tennessean that Google Fiber is not experiencing the permitting delays because it has already worked out a contract with NES. 

The Final Vote

In two weeks, the bill returns for a final vote on September 20, 2016. Councilmember Jeremy Elrod, one of the bill’s cosponsors, described the last vote on September 6, 2016 in The Tennessean:

"This is an extremely big step forward, an extremely big net positive for Nashville, for internet competition. … It increases competition, increases telecom and Internet investment for [us] as a city and our citizens as a whole."

Photo of utility workers courtesy of FEMA through a Creative Commons license.

Virginia’s Fauquier County Hires Broadband Consultant

Fauquier County, located less than an hour west of Washington, D.C., recently formalized a contract with a Virginia-based consultant to develop a broadband Internet strategy for the county. The county is home to nearly 70,000 residents, many commute to work in D.C.

What’s the problem?

Fauquier County had the eighth-highest median income in the United States in 2011, yet its rural residents lack high-speed Internet access options. Large corporate Internet service providers (ISPs), Comcast and Verizon, deliver high-speed Internet to profitable markets in Fauquier’s largest towns, Bealeton, Warrenton, and Marshall. However, due to low population densities and low projected returns, incumbent ISPs did not invest in broadband infrastructure upgrades that rural communities need. 

Earlier this spring, the county government created the Fauquier Broadband Advisory Committee (FBAC), a ten-member committee tasked with exploring Internet accessibility solutions for the county. The recently approved feasibility study is the first step to bringing rural residents the services they require. 

Tackling the Urban/Rural Divide

The $60,000 assessment and feasibility study will prioritize economic development opportunities and quality of life improvements for Fauquier residents. The study also aims to map county demand and assess how to best deliver last-mile coverage to the entire county, including the 57 percent of residents who live in rural areas. The consultant released two countywide broadband surveys to pinpoint local interest, one for residents and another for businesses

The county plans to designate infrastructure projects as capital expenses and potentially create an independent broadband entity to run the network. For local officials, there are important returns to a better network. Improved connectivity could lead to job growth, improved educational outcomes, and better healthcare and public safety. Rick Gerhardt, who sits on FBAC, told Fauquier Now:

“It’s about economic viability, more people can work at home... and education… We’ve got kids in this county who can’t do their homework without going to McDonald’s… I don’t think you can survive a day without broadband.”

Lake Oswego Schools Opting For Dark Fiber

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."

Clackamus 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 Clackamus

Other community anchor institutions (CAIs) in Clackamus County have been connecting to the Clackamus Broadband eXchange (CBX). The CBX is the middle mile dark fiber-optic network that runs through the county, which was funded in 2010 with American Recovery and Reinvestment Act (ARRA) funding. 

Duke Dexter, broadband program coordinator for Clackamas County spoke with the Lake Oswego Review

Dexter says there was no obligation for any district or agency to join the network, but people want to travel the Internet more quickly, he says, and fiber-optic cables offer a faster link to the information superhighway.

“We built … a freeway," Dexter says, "and now, other people are building on-ramps to be able to get onto that freeway.”