After years of consideration and planning, Waterloo, Iowa is finally moving quickly forward with its plan to build a citywide municipal fiber network. Once complete, the network aims to provide the city’s 67,695 residents with an affordable, fiber-based alternative to local monopolized broadband options that have long left regional locals frustrated and disappointed.  

Waterloo expects that it will cost somewhere around $115 million to build the necessary fiber backbone and connect all Waterloo residents and businesses to the fledgling network. City officials expect the first customers to go live sometime later this year at up to gigabit speeds, though it will take roughly three years for the entire network to be built.

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Much like the rest of the country, Waterloo leaders and residents received a crash course in the importance of affordable broadband during the Covid crisis, when the country’s spotty, sluggish, and expensive broadband networks were on full display due to a massive rise in telecommuting and home education.

Voters Declare GO Time on Muni Broadband

Fueled by frustration, Waterloo voters in September overwhelmingly approved the city issuing general obligation bonds to fund the start of construction for a city-wide municipal fiber network.

Hampton Roads, a metropolitan region bordering the Chesapeake Bay in southeastern Virginia, is known for its 17th century historical sites, shipyards crowded with naval aircraft carriers, and mile-long bridge tunnels. Home to 1.7 million Virginians, Hampton Roads is now looking to broaden avenues for economic development by leveraging existing transatlantic subsea broadband cables to transform the region into a technology-forward digital port. That’s why regional officials recently issued a Request for Proposal (RFP) seeking one or more private partner(s) to construct a regionally-owned 100-mile, open access fiber ring.

Private partners interested in responding to the RFP [pdf] must do so by August 24, 2021. Potential partners can decide to offer some or all of the project functions, choosing to: design, build, finance, operate, and/or maintain the regional fiber ring. (See instructions on how to respond to the RFP, as well as details on the selection process, under Section IV on Page 7.)

Five of the nine cities that make up the region colloquially referred to as “the 757” - Chesapeake, Norfolk, Portsmouth, Suffolk, and Virginia Beach - banded together to improve local fiber connectivity in 2018, forming the Southside Network Authority (the Authority). 

According to the Authority's RFP, the project was undertaken to resolve the broadband issues faced by the cities, including:

• a need for more and more affordable internal connectivity for governmental operations

• equity and affordability concerns in general as compared to similar metropolitan areas

• a perceived lack of responsiveness by incumbent providers to the needs of the business community and economic development prospects

• a relative lack of broadband infrastructure by comparison to comparable metropolitan areas

• and concerns about the security and scalability of existing, privately-owned regional networks

Regional Impacts

Over the last three years, Le Sueur County, Minnesota has assembled a task force of citizens, local officials, and business leaders which have succeeded in dramatically improving broadband for thousands of residents who previously had poor or no connectivity. In doing so, they’ve also forged relationships, inventoried local resources, and created a model which is likely to see the landscape go from one where nearly all residents in the county were under- or unserved by basic broadband at the beginning of 2018 to one where the vast majority of the community will have access at 100/20 Mbps in the next couple years. And if efforts continue to succeed, it’s possible we might see full fiber coverage in Le Sueur by the end of the decade, making it one of the most connected counties in the state.

Le Sueur is located ninety miles southwest of Saint Paul, and had just under 29,000 residents and 11,000 households in 2019. There are 11 whole or partial cities in the county, of which Le Center and Montgomery are the largest at around 2,500 people each. The remaining communities sit between 200 and a 1,000 residents. More than a thousand farms dot the landscape, and agriculture, along with some tourism and resort development centered on the lake communities, comprise the bulk of the county’s economic picture.

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Broadband infrastructure outside of the population centers in Le Sueur is generally poor, which was a problem for residents, for businesses, and for farmers looking to remain competitive and modernize operations: “the lack of this service means students have trouble completing schoolwork and seeking future opportunity, small businesses have trouble connecting with customers and vendors, farmers have less efficient operations, home sales and development lags, and options for telemedicine are closed.”

Iowa is home to many community networks, from co-ops to muni cable, fiber, and other technologies. Three communities in the state have just recently made important announcements about their plans, and several others are moving forward with networks. There is so much happening in Iowa right now that shows potential for other states that don't limit competition.

There is a long history of local broadband excellence in Iowa for new networks to draw on. Cedar Falls Utilities was just recognized as the fastest ISP in the nation by PCMag. It has well over 20 years of success, but recent years have seen it sharing its expertise and facilities to lower the cost for other communities to build networks without reinventing the wheel. Local private Internet service provider ImOn is also a partner for these networks, offering voice services.

Many of these networks being built will be able to share services and lower their costs by being on the same ring to get some scale benefits despite being smaller communities. I remember many years ago when Eric Lampland of Lookout Point started pushing for this ring, and I am dumbfounded why we don't see more of this cooperation among munis and small providers in other states. Thanks to Eric and Curtis Dean of SmartSource Consulting who helped me with background for this Iowa update.

We have a brief mention of West Des Moines's recently announced partnership with Google Fiber in here, but we're finishing a longer post that solely examines their approach. Between this, that, and our Coon Rapids podcast this week, it is officially Iowa week on MuniNetworks.org!

Vinton

Vinton's new municipal fiber network has just started connecting subscribers, leading to a memorable testimonial in the local paper, Vinton Today:

Valparaiso, Indiana, is investing in dark fiber to stimulate economic development; it is deploying ValpoNet, a dark fiber network to serve local businesses and institutions.

The city of approximately 32,000 people is a little over an hour southeast of Chicago and home to Valparaiso University, Purdue University North Central, Indiana Vocational Technical College, and several other colleges. The community also has a large manufacturing base and a number of hospitals and medical clinics, so there is an ample supply of entities with IT departments with the requisite knowledge to use a dark fiber network.

If At First You Don't Find Fiber...

In 2010, a regional economic development organization developed a report that identified the lack of fiber in "Valpo" and Porter County but no project developed. The city moved on to other things until 2014. A situation with a large financial information company in town breathed new life into the idea of municipally owned fiber. The company wanted to expand its facility and wanted to be sure it could access better connectivity. Several years earlier, there had been an ice storm at one of the company's home offices and, while they thought they had redundancy from the incumbents, such was not the case. They lost connectivity for days and from that point on, whenever they opened new offices, expanded, or relocated, redundancy was always a top priority. 

Valpo's Redevelopment Commission decided to hire a consultant to draft a feasibility study. He determined that a dark fiber network was not only possible, but needed. The study revealed that other companies suffered from poor reliability and considered affordability another pressing issue. 

In South Bend, the Trinity School at Green Lawn recently connected to the Metronet Zing dark fiber network thanks to a grant from Metronet and nCloud. According to Broadband Communities Magazine, the new connection has brought new opportunities to teachers and students at the high performing school.

The Metrolink Fiber Grant program, new this year, awards grants to schools to encourage innovative approaches focused on outcomes improving broadband capacity to implement innovation. To receive the grants, schools must have a specific plan, an implementation strategy, a way to measure success, and an accountability plan. Schools must also demonstrate that there will be adequate training and that staff will remain supportive and committed to the plan.

Like many other schools, Trinity at Greenlawn had to limit technology in teaching because its capacity was so poor. In classes where students exchanged information for projects, they often emailed from home where connections were better or exchanged flash drives.

Bandwidth is no longer an issue. From the BBPMag article:

Danielle Svonavec’s seventh-grade students study music composition using online software. A year ago, just half the class could be connected at a time. Even with that limited number, slow connections meant wasted time as students waited for the software to store and process their work. This year, all students are online. Response is seamless. Instead of being frustrated by computer issues, students work without distraction. The class is able to take full advantage of the software and learning is enhanced as students hear their compositions played back instantly as they work.

Trinity also has campuses in Minnesota and Virginia and are making plans to use the network for distance learning opportunities with students at all three campuses.

We introduced you to Metronet Zing in 2013. The dark fiber open access network provides connections through South Bend, Mishawaka, and St. Joseph County. The non-profit serves government and education while its for-profit sister entity, St. Joe Valley Metronet, serves commercial clients.

Our Community Broadband Map documents over 400 communities where publicly owned infrastructure serves residents, business, or government facilities. We rarely hear of publicly owned systems sold to private providers, but it does happen once in a blue moon.

Accelplus, the fiber optic FTTH network deployed by Crawfordsville Electric Light & Power (CEL&P) in Indiana was sold earlier this year to private provider Metronet.

According to a July Journal Review article, the transition for customers began this summer with completion expected by the end of 2014. Metronet invested approximately $2 million in upgrades. Metronet will also offer voice services via the network; Accelplus offered only Internet and video.

In the past, we have found that networks that offer triple-play can attract more customers, increasing revenues. In states where munis cannot offer triple-play or administrative requirements are so onerous they discourage it, municipalities that would like to deploy fiber networks sometimes decide to abandon their vision due to the added risk. 

A November 2013 Journal Review article reported that the network, launched in 2005, faced an expensive lawsuit commenced by US Bank. Apparently the network could not keep up with the repayment schedule for Certificates of Participation, backed by network revenue, that financed the investment.

Metronet purchased Accelplus and its assets for $5.2 million. The City also provided some economic development incentives. When all is said and done, investors are settling for a total of $5.6 million and the City avoids a $19.6 million lawsuit.

A February Journal Review article reported:

Metronet will receive a 10-year, $24,000 per year lease from CEL&P on property currently used by Accelplus. Metronet can purchase that property for $1 after the lease expires. Accelplus manager John Douglas has segregated those areas and provided AutoCAD drawings to Metronet.