HB 13, a law moving through the Ohio state legislature, creates the state’s first-ever residential broadband expansion program in order to address an access gap faced by hundreds of thousands of households across the state. Unfortunately, it bars municipally owned networks and electric cooperatives from participating in the $20 million pot of funds aimed at extending Internet access to areas with significant connectivity challenges.
How It Would Work
The bill — titled “Establish Residential Broadband Expansion Program” — passed the Ohio House of Representatives on June 11 of this year, and takes aim at addressing last-mile connections and bringing more Ohioans online. If passed, it would create a $20 million fund and effect regulatory changes to provide subsidies for private entities in the state to extend their networks and connect more people.
HB 13 establishes a number of conditions that have to be cleared for projects to be eligible. First, areas included can’t already include projects that have gotten money from the federal programs like Connect America Fund or the FCC's upcoming Rural Digital Opportunity Fund taking place this fall.
Second, the bill establishes a score mechanism that privileges areas that are unserved and underserved. Projects addressing unserved areas top the list: it defines the latter as lacking access to download speeds of 10 Megabits per second (Mbps) and upload speeds of 1 Mbps. The bill then favors “Tier 2” projects (which provide a minimum of 25/3 Mbps service) to either unserved areas or to “Tier 1” areas (those where download speeds come in between 10 Mbps and 25 Mbps and upload speeds are between 1 Mbps and 3 Mbps).
Finally, HB 13 provides extra consideration for projects aimed at “distressed areas,” projects that can demonstrate in-kind or other financial contributions that have already been approved, those that utilized public Rights-of-Way, and those that demonstrate advantages in terms of the speed of the buildout or future scalability.
Problem Provisions and Vague Definitions
Bill co-sponsor Rick Carfagna, who worked as Government Relations Manager for Time Warner Cable for 14 years,...Read more