Moose Lake Wireless Expands

Last week, I was in Moose Lake last week talking to them about making improvements to the City web site and maybe using a blog as a decentralized community web site where deputized bloggers could post news and events from the City, library, Chamber and others. I’ve been so mired in technology policy lately that it was fun to talk about application.

Moose Lake is a Blandin Get Broadband community. They used funding to create a community web site. There’s a prison in Moose Lake, subsequently they are security-focused. On the current web site people can sign up to get community updates. It’s great for event promotion – but it is also a great way to spread info in case of an emergency.

Moose Lake also built a wireless network, which means it’s a great place to stop for lunch if you need to get online. The fun news is that they are very recently been extend the wireless access to Barnum, Kettle River, Sturgeon Lake and Willow river areas. The service is provided by Moose Lake Water and Light Commission as part of the Community Broadband Network.

They have fiber into the town and started installing wireless in 2000 and have been able to expand bit by bit. Now people can get access at speeds of 512Kbps for about $30 ($25 for seniors!) or 768Kbps for $50.

What I’d love to see in a year is that the demand was so great that they are looking to extend that fiber to the home – but for now I think they’ve come up with an affordable solution that meets the community needs and leaves the door open for great expansion – to new areas and perhaps new speeds.

TISP meeting on Municipal Telecom Regulation

TISP meeting on municpal referendum on telecommunications:

A statutory provision (237.19) in Minnesota requires a municipality to hold a public referendum which passes by 65% if it wants to construct a new telephone exchange to offer telephone service and a local exchange already exists. That provision has a checkered history in Minnesota where some referenda have failed, some have first failed and then succeeded while others have succeeded at first attempt. Critics argue a referendum requirement and especially the 65% approval level creates an unjustifiable barrier to entry and has a chilling effect on the emergence of competitive new broadband services, especially since telephone service has become part of a larger package of broadband services from most providers. Supporters argue it is useful to require specific community approval.

The panelists included Ann Higgins, Wally Wyspol, Steve Downer, Dan Olson.

Here are the notes:

Ann – hoped to eliminate voting requirement, now focusing on broadband.

Wally – NSP was the electric utility. They had telephone prior to 1915! Their goal was to make NSP unique. Lost election not war. Year ago, survey support was 70 percent.

Steve – Early adopters communities were members of MMUA. They found that even joint ventures difficult to pass legislatively.

Dan Olson from Windomnet. Reports of demise are incorrect. Right now tey’re so busy there’s a week wait for new installations.

Dennis nelson from Windomnet. They had two referendums; the first one got 50 percent vote. After Qwest bypassed Windom again, the second one passed with x percent.

Windom used revenue bonds only. Initial bookings exceeded finances. Business plan called for negative cash for 7 years.

The law – permission to put in a switch. Does it matter? In NSP’s case, this was not the issue. In Windom the attorneys said that vote must follow language. Legal definition has expanded beyond the switch to include the plant and service. Clear legal authority makes financing possible.

Windom noted that recruiting voters equals willing customers.

Unequal requirements for issuance of public sector debt. Business community does not vote locally.

There was discussion about linkages between referendum and marketing and presale.

There was discussion of incumbent and outside forces expenditures. Local advocates outspent at least 10 to 1. Opposition funded buses to the polling places.

NSP thought that they did a good job of community education and awareness. The first community meeting was 2003.

There are no current efforts to remove the 65 percent benchmark to pass a referendum. MMUA says change in law brings legal uncertainty. Predatory pricing needs to be restricted via law to protect start up operations.

Communities need to be aware of anti forces and plan for it.

Fear of GO bond issue by residents and its impact on property taxes even though GO cheaper than revenue bonds.

Local Intelligent Community in the works

Today the Star Tribune ran a nice article on Dakota Future and their plans to be one of the Top Seven Intelligent Communities as judged by the Intelligent Community Forum within the next three years.

I’m excited to see my fellow BoB blogger, Bill Coleman, quoted in the article. Bill, who is also the executive director at Dakota Future, was instrumental in getting Robert Bell from the Intelligent Community Forum to speak at the 2008 Blandin Broadband conference. Robert spoke about what makes an intelligent community and how an intelligent community can make a difference.

The Intelligent Community Forum receives applications from potentially smart communities around the world. The application process is rigorous and competitive but I have faith in Dakota County. In the article, Bill says, “This is a way to pull everyone together, to get us on the same page with the same kind of priorities.”

Win, lose or draw, the application process sounds like a good impetus to focus. I don’t’ want to make the job any tougher for Dakota County – but I’d love to see more Minnesota communities get inspired to think big!

Minnesota Broadband Scenarios

There is much discussion about the accuracy of the Connected Nation maps and the legitimacy of the speed tests. When the legislature passed the funding for the mapping project, some of us joked that with 10 minutes and a napkin we could produce a pretty darn accurate map. We’d even share all of our data!

I also have doubts that the maps will spur providers to fill the broadband gaps. After all, the existing providers know exactly where they provide service and any competitor thinking about providing service can go to the city hall and hang around the coffee shop and get a pretty good idea where the gaps are.

I think that most of Minnesota can be categorized into a handful of scenarios based on location and their incumbent providers. I have taken an initial shot at outlining these scenarios herematrix. If you have comments, suggestions and additions, I would love to hear them and might incorporate them into the grid. If I was more graphically inclined, these scenarios could be easily illustrated using real communities or composite creations of our own naming. I would be very interested in working with anyone who is a mapping guru on this. Could be lots of fun and we could name these composite towns after our favorite children, politicians, pets or rock bands.

FTTH – Not in North St Paul

The results are in on the fiber vote in North St Paul. The question was:

“Shall the City of North St. Paul be authorized to construct a telephone exchange as part of a municipal fiber optic network and to issue not to exceed $18.5 million general obligation bonds to finance the construction and equipping of the network?”

The results are:
Yes – 33.10% or 1014 votes
No – 66.9 % of 2049 votes

Rural Internet and Broadband Policy Group

Thanks to Amalia Anderson for sharing the Rural Internet and Broadband Policy Group’s Rural Broadband Principles and Policy Recommendations with me.

So the story is a bunch of smart people, who clearly understand the issues in rural America got together to talk about the implications of broadband in rural areas.

They came up with two straightforward goals:

The Rural Internet and Broadband Policy Group has two goals: 1) to articulate national broadband policies that provide opportunities for rural communities to participate fully in the nation’s democracy, economy, culture, and society, and 2) to spark national collaboration among rural broadband advocates.

And then they backed it up with principles and policy recommendations, “based on four main needs of rural communities: 1) accurate data on service availability and adoption, 2) locally‐owned infrastructure, 3) assistance in technology adoption, and 4) uniform and transparent federal policies.”

Here’s the refreshing thing – the big answer isn’t more money. Instead many of the recommendations revolve around sharing info and resources that already exist, or would not monumental to create such as accurate mapping, upping minimum speed defined as broadband, creating a database of transportation projects to allow broadband providers to recognize opportunities for open conduit. They are pro open access networks, pro net neutrality and pro transparency.

The report is only six pages and is well worth the time – it definitely cuts to the chase.

PolarNet vote on FTTH in North St Paul

Today, the citizens of North St. Paul are voting on PolarNet, a municipal fiber to the home network. The results will be interesting and will generate significant discussion in the coming days about why it passed or did not, the role of groups like the Coalition for Broadband Choice and the MN Free Market Institute, and the future of similar municipal fiber to the home initiatives.

In my work with communities on broadband and economic development, I seek pragmatic, problem solving solutions. In communities where the discussion begins “If only we had a fiber network, people would come here and start businesses”, I emphasize the need for current users to adopt technologies that make use of robust telecommunications networks as a first step in increasing community technological vitality. I also see the significant value of local control of networks so as to more easily and flexibly enable economic development and other community goals. Leaders recognize that the community balance sheet can include a much wider variety of assets than a publicly or privately held company. Plus, I have seen that whenever a third network operator, public or private, enters the market, prices drop and services improve.

My work brings me into close contact with telecommunications providers as well. I appreciate their focus on the bottom line and ROI. But unfortunately, providers consistently engage in two destructive behaviors. First is the incumbent providers’ widespread, but not universal, inability to work in a straight forward manner with communities seeking enhanced telecommunications services. This is best illustrated by the situation in Monticello where there may soon be two FTTH networks in place. Adjacent communities can only observe that the only way to stimulate private sector investment is to threaten public sector investment. Another practice is the denial of critical information to community leaders about facilities and capabilities. The Coalition for Broadband Choice’s web site cites multiple existing fiber networks; my own experience is that community leaders’ requests for documentation have not been met.

The other common destructive behavior by incumbents is the observation that communities cannot successfully operate a municipal telecommunications network. This assumption is proven false every day in a growing number of FTTH municipal utilities across the country with a variety of operating models.

Thanks to the Internet, we will be able to log on tonight and see the North St. Paul election results. It is critical that communities have the right to ensure their own economic success. Telecommunications infrastructure and services are now a critical ingredient to that success.

Franklin Delano Roosevelt, whose leadership ensured that all Americans would have access to telephone and electricity, said,

“I therefore lay down the following principle: That where a community–a city or county or a district–is not satisfied with the service rendered or the rates charged by the private utility, it has the undeniable basic right, as one of its functions of Government, one of its functions of home rule, to set up, after a fair referendum to its voters has been had, its own governmentally owned and operated service.

“That right has been recognized in a good many of the States of the Union. Its general recognition by every State will hasten the day of better service and lower rates. It is perfectly clear to me, and to every thinking citizen, that no community which is sure that it is now being served well, and at reasonable rates by a private utility company, will seek to build or operate its own plant. But on the other hand the very fact that a community can, by vote of the electorate, create a yardstick of its own, will, in most cases, guarantee good service and low rates to its population. I might call the right of the people to own and operate their own utility something like this: a “birch rod” in the cupboard to be taken out and used only when the “child” gets beyond the point where a mere scolding does no good.”

Illinois is getting ready for broadband stimulus

Here’s the latest info from our friends in Illinois:

On Friday Governor Quinn launched www.Recovery.Illinois.gov, a tool for every taxpayer interested in the $787 billion federal stimulus package.

This site allows us to quickly share state-focused information about the American Recovery and Reinvestment Act, collect project ideas from the public, and direct people to relevant state and/or federal agencies and applications. We look forward to working with you to make the Illinois recovery effort a success.

***We are planning a Chicago/Springfield meeting in the next two weeks to focus on getting and using our fair share (and then some) of the broadband components of the ARRA. Please stay tuned for an email invite this week.***

Should you have questions or concerns about Recovery.Illinois.Gov, please send a message to gov.recovery@illinois.gov.

I think it’s great news. So great that maybe we ought to take a page out of their book! I see that Steve Clift has started an online conversation. That’s a good start too.

Free Press vs Tech Policy Institute on broadband Minnesota

In December, Scott Wallsten of the Technology Policy Institute gave a presentation to the Ultra High-Speed Task Force. It was interesting. His perspective was that there isn’t a broadband crisis in the US; we have time to develop good policy.

I think some of us were taken aback at his assessment. S. Derek Turner (Research Director from Free Press) prepared a rebuttal to Wallsten’s remark. Turner’s summary “offers a counterpoint to those who would excuse away America’s broadband problem. The simple fact is that international rankings do matter. This is not just a point of pride. Each spot the United States slips represents billions in lost producer and consumer surplus, and potentially
millions of real jobs lost to overseas workers.”

The rebuttal offers a point-counter point that specifically addresses the issues brought up during the session. I’m going to include just one example here, partially because it addresses an issues that seems to be getting a lot of local attention lately:

Myth #4: Though the international comparisons show that citizens in other countries are able to purchase 100Mbps connections for the same price as American’s pay for 1Mbps connections, results from speedtest.net show that the citizens in these other countries are not actually receiving these high speeds.

Reality: The fact is consumers in countries like Japan, South Korea, Sweden, the Netherlands, and France are paying far less for far faster services, and they are getting what they pay for. Wallsten relies on unscientific samples of user-generated speed tests conducted at the Web site speedtest.net to illustrate that speeds in most of these countries are within range of those delivered in the U.S. However, there is one critical flaw in this approach: the servers used by speedtest.net to conduct these tests are not capable of properly testing the speeds of very high-speed connections. Thus, we would expect to see the result Wallsten presents, and should ignore it. The thriving applications market in countries like Japan indicates that the broadband services in these countries are indeed capable of delivering the very high speeds that they advertise.

Advice for broadband stimulus hopefuls from Baller

This weekend, Jim Baller sent out a great document that is intended to provide folks with the basic information necessary to take advantage of the opportunity and begin structuring proposals, outlining the key requirements of the NTIA and RUS broadband programs (so far as they are currently known) and other important aspects of the American Recovery and Reinvestment Act.

Update on Monticello: Appellate presentations on March 4

Update on Monticello: Appellate presentations on March 4

The folks in Monticello are so good about keeping me up on what’s going in their neck of the woods. I wanted to share the latest from their newsletter:

FiberNet Project Update: February 19, 2009

Lawsuit – Appeal Update
As you may be aware, full construction of our community-owned, locally-operated ultra fast broadband system, “Fibernet Monticello,” has been delayed due to a legal challenge by TDS Telecom. This legal challenge has delayed the project because revenue bond funds ($26 M) obtained from private investors cannot be tapped to fund our project until the case clears. At the District Court level, as expected, a ruling favorable to Monticello has been obtained. However, TDS elected to appeal this decision resulting in further delay of our project. Oral presentations at the appellate level will occur on March 4. The City remains confident that we will prevail later this year.

Project Update February
At the direction of the Mayor and Council, Monticello is pressing forward with construction of some important elements of our system, including construction of the building housing electronics (head-end building) and a fiber “backbone” which was constructed in late fall 2008. This subset of the main system will provide ultra-high speed internet service to a number of our businesses and industries along with a small number of residential homes. In addition to providing immediate service for some, completion of the head-end building will serve to shorten the construction timeline for the full project offering Internet, telephone and digital TV at very competitive prices.

The Monticello City Council has authorized final planning for system start-up, including direction to proceed with sales and operations. This important activity is now in full swing with Don Patten from Hiawatha Broadband Communications (HBC) as General Manager to guide the start-up process. We are excited about our Private/Public partnership with HBC and glad to have Don providing FiberNet Monticello with the expertise needed to assure success. Don has a long record of achievements on similar projects that instill confidence that he will successfully guide Monticello toward a system that will achieve BETTER VALUE, GREATER SPEED, OPTIONS YOU DESIGN, SUPERIOR LOCAL SUPPORT, CUSTOMER SERVICE and LOCAL ACCOUNTABILITY.

FiberNet Monticello
High Speed Internet, Telephone & Digital TV
Community Owned & Locally Operated
Visit our website: http://www.MonticelloFiber.com

More on fiber in North St Paul

Next week (Feb 24) North St Paul is having a special vote on an $18.5 million bond to build a fiber-optic network to provide high-speed Internet, telephone and cable services as a utility in North St. Paul.

The Minnesota Free Market Institute is against the move. The Institute for Local Self Reliance is for it. They each had editorials in the Pioneer Press this week.

On Feb 18, 2009 Pat Anderson from the Minnesota Free Market Institute wrote is to say that building fiber does not make financial sense since most municipal fiber networks fail and alludes to philosophical issues with government providing services that commercial entities provide.

On Feb 19, 2009, Christopher Mitchell from the Institute for Local Self Reliance countered by pointing out that the FTTH Council maintains a list of successful FTTH networks and points out that some of the failures that Anderson mentions have resulted in saved local job and encouraged increased economic investment.

I think the issue of municipal networks is going to get a lot more local attention in the next few months. Perhaps cities were stalled while people watched what happened in Monticello – but as that saga continues into extra innings I think communities that are unhappy with their broadband access are stepping up.

If I were a broadband provider, I think my best defense against municipal networks might be providing the best service I could. Because as a consumer and citizen, I’m voting no to municipal networks if I’m happy with what I’ve got; I’m voting yes if I’m frustrated.

Rural Areas: from dialup to fiber?

I’m just going to apologize in advance for the fact that I have so much news to report this weekend. Part of it is me catching up after being out of town – part of it is a lot happening.

The Daily Yonder had another nice article on the state of Internet access and use in rural areas specifically on why people don’t use broadband, based on their location.

Here’s the root of it from their article:

Nationwide, nine percent of all adults, however, use dial-up services, and when Pew’s John Horrigan examined why these Internet users avoided broadband, he found large differences in the responses of urban, suburban and rural residents.

Of those using dial-up in cities, 36% said they wouldn’t switch to broadband because of price, but only 3% said they didn’t have fast Internet connection because it wasn’t available.

Among suburban dial-up users, 37% said cost kept them from adopting broadband; 11% said the service wasn’t available.

In rural communities, however, 30% of dial-up users said they wouldn’t use broadband because of price, and 24% said broadband wasn’t available where they lived.

Yesterday I got to listen to Danna MacKenzie from Cook County (for those outside MN, that borders Canada and Lake Superior – it’s *beautiful* and remote). She recounted the early days of trying to explain Internet to a community that had no access. I remember those days – trying to show people the web through screenshots. God love the people with imagination who decided maybe it was worth pursuing after those “demonstrations”.

Well I think the same thing is happening with broadband. How do you explain broadband to some who doesn’t have it? We’re beyond saying – it’s faster. The applications are there where you can do more – but you need to have access to get it or you need to have experienced access (or have a great imagination) to want it. Rural areas have imagination but not the firsthand experience of broadband.

So I think a follow up question is – so do we try to get them any kind of better access? Or do we shoot for the moon and strive for fiber in rural areas? This came up in yesterday’s meeting too.

I just read an article on Broadband over Power Lines, which is so intriguing to me because we need more power and we need more broadband. And as broadband deployment does increase we’re going to need even more power. So why not find a way to do both. The down side is that BPL does not offer ultra high-speed broadband – just broadband. Going that route would be an improvement – but are we just upgrading the unserved to the underserved of tomorrow? And is there a way or even is it desirable to leapfrog to ultra high speed?

I think Geoff Daily would say yes. At the same meeting as where I heard Danna, Geoff Daily advocated for 100Mbps everywhere. That would be great. I don’t know if it’s realistic but I think it’s good to aim high.

The big money question is – how do we do it?

Ultra High-Speed Broadband Task Force February 20, 2009

Here are my notes from yesterday’s Broadband Task Force meeting. I had to leave early – but this morning I saw that they now have video archives of the last few meetings available online. So, I was able to catch up a little – it’s very difficult at times to hear the conversation on the recording. In fairness, it can be hard in person too.

One quick aside, I had to leave to present at the Minnesota Council of Nonprofits, New Times – New Technology conference. While there I met a woman from the Minnesota Commission Serving Deaf & Hard of Hearing People. She was curious about BB Task Force and how they would be considering the needs of her constituents. As she pointed out remote classes by video is great – but without subtitles or sign interpreters, they close the door to some students. I don’t know if this is an issue for the Task Force; I don’t know that it isn’t. I know it’s an issue worth addressing.

OK back to the meeting…

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Minnesota Broadband Coalition

logownamePartially spurred by discussions in the MN Voices Online community, partially as a result of tracking lots of broadband issues and mostly inspired by a desire for more, better broadband, a Minnesota Broadband Coalition has emerged

Here’s the quick description taken from the web site:

We are an ad hoc group of citizens, businesses and organizations that believes that more, bigger, better broadband is needed to ensure Minnesota’s and our own future.

We’re looking for more members. If this is a topic that interests you I hope you will check it out, sign up and help spread the word.