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Santa Monica City Net Case Study
Santa Monica's Telecommunications Master Plan
Utah Senate Bill Attacking UTOPIA on the Fast Track: SB190
UPDATE: According to Pete Ashdown, the amendment has been pulled. Stay vigilant, these things rarely just go away.
We reported earlier this month that UTOPIA was once again facing legislative attack at the state level in the form of HB60. While the House has focused on other issues, the Utah Senate is launching its own attack. SB190 has also put UTOPIA in the crosshairs and events are happening quickly. Time to contact your elected officials, Utah!
According to Jesse Harris at FreeUTOPIA.org, SB190 as originally crafted, could have curtailed a pending deal between UTOPIA and Australian firm Macquierie. From Harris' February 19 story on the bill:
It appears the legislature is determined to chase off a $300M investment in our state’s broadband infrastructure to appease CenturyLink. Sen. John Valentine is running SB190 which has been very specifically crafted to prevent any UTOPIA city from using the same utility fee that Provo has to pay down the bonds. Moving to a utility fee to provide transparency on the cost of the UTOPIA bonds has been a key part of the Macquarie discussions so far, so it could very well put the deal in jeopardy.
Since its introduction, the bill was heard in the Senate Business and Labor committee. There was broad and fierce opposition and Sen. John Valentine, the sponsor of the bill, amended it. The changes made the bill palatable to Macquarie and it passed through committee to the Senate Floor on Feb. 24.
After the bill passed through the committee, Valentine introduced a floor amendment that will prevent new cities from joining the network. Harris now reports:
An Increasing Call for Community Owned Networks
Processes for a Gigabit Community: Community Broadband Bits Episode 87
Montrose Asks Voters to Take Back Authority to Establish A Telecommunications Utility
Colorado communities continue to seek to restore local authority for telecommunications. In April's election, elected officials of Montrose will ask voters to approve a measure that gives the municipality the right to establish a telecommunications utility.
Centennial, a Denver suburb, approved a ballot initiative last fall to use city fiber resources as a way to provide indirect telecommunications services. Centennial's community leaders want to create the most business friendly environment as possible to spur economic development.
Montrose is taking a similar approach, although the language on this ballot does not limit the City to "indirect services." Elected officials have not mentioned the desire to provide any specific services yet, but the language of the ballot question suggests they do not want limited possibilities.
The City Council approved the following language for the April 1, 2014 ballot:
"Without increasing taxes, shall the citizens of the City of Montrose Colorado re-establish their City's right to provide all services restricted since 2005 by Title 29, article 27 of the Colorado Revised Statutes, described as "advanced services," "telecommunications services" and "cable television services," including any new and improved high bandwidth services based on future technologies, utilizing community owned infrastructure including but not limited to the existing fiber optic network, either directly or indirectly with public or private sector partners, to potential subscribers that may include telecommunications service providers, residential or commercial users within the City?"
A Montrose Daily Press covered the decision:
“We’ve been working on improving our broadband in the community for quite some time,” Virgil Turner, city director of innovation and citizen engagement, said. “The city has recognized that broadband is an area where we are not on equal footing with the Front Range.”
FCC to Investigate Barriers to Community Networks
The Commission will look for opportunities to enhance Internet access competition. One obvious candidate for close examination was raised in Judge Silberman’s separate opinion, namely legal restrictions on the ability of cities and towns to offer broadband services to consumers in their communities.The FCC has a history of encouraging states not to pass such laws (Commissioner Clyburn, previous FCC Chair, former Commissioner Copps) and the National Broadband Plan made recommendation 8.19: "Congress should make clear that Tribal, state, regional and local governments can build broadband networks." Even if communities choose not to build their own networks, having that capacity changes the dynamic of the big cable and telephone companies - something Franklin D. Roosevelt described as the "birch rod" in the cupboard (regarding municipal electricity):
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.
How Ammon, Idaho, Builds Digital Roads - Community Broadband Bits Episode 86
Chattanooga's Fiber Network Praised for Great Customer Service
One of the main differentiator's of community owned networks compared to the big cable and telephone companies is customer service. Being rooted in the community, vested in its success, and employing local residents just means better, more prompt service. A prominent Chattanoogan recently explained:
My last shout-out is to EPB Fiber Optics. This is not a paid commercial, just an opportunity for me to brag on some people who know what they’re doing. I am the first to go on social media and complain about whatever store or business is guilty of subpar service. It’s human nature, and it often makes for a good story. I started using EPB for my cable, internet and phone service about a month ago. I have encountered three problems during that time, none of them major, but all beyond my level of expertise. Each time, I called their help line. Each time, I spoke to local people who did not put me on hold for extended periods, nor did they force me to learn a new language. They always solved my problem within five minutes. My blood pressure thanks you, EPB. This is how it’s done.
We hear these stories frequently with community owned fiber networks. It is hard to do a national study that quantifies the benefits of better customer service, but if we could, we have no doubt the locally owned networks would bury the national cable and telephone companies.
Community Fiber Is Not Just About the Fiber
In addition to price hikes, promotion cuts, the new gateway rental fee and the activation fee, Verizon also recently started charging users for the backup batteries in their ONT units, first charging users for backup battery replacement, then charging users to get any backup battery in the unit to begin with.Anytime you hear someone arguing that munis should only be able to build their own networks where the private sector absolutely refuses, recall that community owned networks are not simply a consolation prize, they are often superior. Better customer service, lower rates over the long term, and more likely to invest in upgrades as needed - there is no good reason to condition this investment on the refusal of some other distant company to provide an inferior alternative.