In Kaysville, Utah, the city is considering establishing a municipal fiber optic utility in the community of approximately 32,000 people. City leaders are considering the utility fee model, to enhance competition, inspire better rates, and encourage innovation in the community.

A Recurring Issue

The Salt Lake Tribune recently reviewed the plan in Kaysville, where the city council will soon vote whether or not to approve a $26 million bond in order to deploy a citywide publicly owned fiber optic network. Community leaders have determined that a Fiber-to-the-Home (FTTH) network is essential infrastructure for Kaysville. Comcast and CenturyLink serve most of Kaysville; some areas near the city must rely on satellite Internet access. City leaders want to lower prices and improve services by creating an environment for increased competition.

“As I was doing door-to-door campaigning, this was an issue that came up again and again and again,” said Kaysville Mayor Katie Witt, who’s a proponent of the city’s plan to create a fiber optic network. “We need to look down the road and plan for the future and make sure that we have the critical infrastructure in our community.”

The city has reviewed possible options and, after "one of the most vetted and open projects that we’ve worked on," decided that the utility model is best suited for Kaysville, said Councilwoman Michelle Barber.

“That’s what took 18 months of looking at was finding out that there are options, there are a lot of different options and ways to go about this," [Barber] said. “And after evaluating them all, going through a really long process, seeing feasibility, financial models and what’s the best fit, we found this one which we believe to be the best fit for Kaysville.” 

The Utility Fee Model

Kaysville plans to deploy an open access model, which will allow multiple Internet access companies to offer services through the fiber optic infrastructure owned by the community. They will use a utility fee to finance and maintain the infrastructure.

This November, voters in Easthampton, Massachusetts, will have the chance to grant the city the authority to establish a municipal light plant (MLP). If they pass the ballot measure, the community will legally be able to develop a publicly owned network. Passage doesn't gurantee Easthampton will take the next step and deploy a network, but the community has been researching options to better understand which direction is right for them if they decide to move forward.

Creating the MLP

In keeping with state law, communities in Massachusetts must form an MLP to manage municipal utilities and municipal broadband service. The Easthampton City Council voted twice over the past two fiscal years to approve an MLP, which then allowed the issue to be put on the ballot for voters.

Establishing the MLP doesn’t mean that the city will launch a network, but gives the community the necessary entity to manage it in the future, should they decide to do so. The MLP can also eventually offer other municipal utilities, such as electricity or gas.

Sharing Findings

At a September 11th public hearing, members of the Telecommunications Advisory Committee presented results of a local survey and shared their research. The committee formed in 2018, and began investigating the connectivity situation in Easthampton, possible community network models, and examples from other communities to be prepared if the issue moves forward.

Charter/Spectrum serves most of the community with cable Internet access and Verizon provides DSL in additional areas. According to Council Member Thomas Peake, who is also on the committee, there is little service area overlap between the two companies. The lack of competition from the private sector and resulting dissatisfaction from subscribers — rated an average of 2.94 out of 5 on the survey — prompted Easthampton to look into a publicly owned option.

For years, Palo Alto residents have patiently waited for the city to move forward on building a citywide municipal Fiber-to-the-Premises (FTTP) network. In recent months, local supporters have started pushing harder for progress, noting recent successes in other communities, and by launching Muni Fiber Palo Alto.   

In early July, they invited Christopher to give a presentation on municipal broadband and answer questions from community members. Christopher discussed the importance of high quality connectivity, different network models available, and success stories from communities around the country. He shared the many potential benefits of municipal broadband in Palo Alto and addressed some of the challenges cities can face when pursuing broadband projects, including competing with incumbent providers: 

“When I hear people in Palo Alto sometimes being concerned about AT&T and Comcast, it’s a good concern to have. You have to have a good business plan, you have to take marketing very seriously, but you should not be intimidated from going into business against them, because frankly, sometimes I hear people say… there’s nothing better than competing against Comcast. Because people really don’t like having Comcast as their provider.”  

He also gave an overview of how the Institute for Local Self-Reliance Community Broadband Networks Initiative works to champion community broadband projects, and pointed attendees toward the many resources available on MuniNetworks.org. 

Watch Christopher’s presentation in full here: 

Learn more about the movement in Palo Alto at MuniFiberPaloAlto.org, and show your support by signing the online petition in favor of a municipal fiber optic network.

Late in June, consultants hired by Lakeland, Florida, reported to city commissioners that the community is well situated to launch a broadband utility. Lakeland has drifted between options in recent years while making investments that ultimately have contributed to their current footing.

We last reported on the city’s activities in October 2016 when community leaders chose to seek out a private partner, issuing a Request for Proposals (RFP). Decision makers were intimidated at the thought of facing off against Charter Spectrum, citing the task of establishing a municipal network utility as too risky with aggressive incumbents willing to undercut prices.

Even though they were concerned with how a large monopoly cable company might react, commissioners agreed that Lakeland required high-quality Internet access in order to stay competitive. To set the stage for future improvement commissioners adopted several actions, including implementing a dig once policy, seeking allies among other local governments, and actively marketing their dark fiber network.

Darkness Reigns Supreme

The city's 330-mile fiber infrastructure currently serves the Polk County School District, local libraries, and public safety facilities. Like other communities that have existing fiber infrastructure, Lakeland began deploying their network in the mid-1990s to connect electric facilities. Seventy-five city facilities are on the network along with 220 traffic intersections, reducing pile-ups and pollution. Lakeland’s network also offers dark fiber connectivity to large companies and institutions, such as the Lakeland Regional Medical Center. In 2016, the network generated $4 million annually from leases.

Consultants envision the publicly owned dark fiber network as the basis for a Lakeland broadband utility. John Honker from Magellan Broadband told commissioners in June:

During the 20-year on-again-off-again relationship between Palo Alto and a possible fiber optic municipal network, the people of the community have waited while plans have changed, leadership has shifted, and city staff has researched potential infrastructure plans. For the people of the city, it’s a long time to be patient. In a recent opinion piece, resident Jeff Hoel described his long wait and expressed why his city needs to finally move forward and create a citywide municipal Fiber-to-the-Premises (FTTP) network.

Knows of What He Speaks

As a retired electrical engineer who has intimate knowledge of technology and networking, Jeff writes in his piece that one of the reasons he moved to Palo Alto in 1998 was because the city was considering deploying a community network. At the time, Palo Alto had already invested in dark fiber, which they have used to generate approximately $2.1 million per year through leases. The revenue has been held in a fiber optic fund, which has grown to around $26 million.

Over the years, the city has commissioned studies and community leaders have publicly advocated for an expansion of the network to a citywide utility for residents and businesses. Palo Alto’s residents have supported the idea, but stumbles in securing funding, difficulties locating private sector partners for a P3, and a failed bid to bring Google to town, have all left the city with no fiber optic network.

Earlier this month, Redding City Council decided to take the next step toward building a fiber network in a portion of the Northern California city’s downtown. Council members voted unanimously to move forward with exploration of the proposed pilot project after considering the design and cost assessment presented at the April 2nd council meeting.

City staff have been methodically researching the fiber project since May 2017. The exact model of the network is still up in the air; options include retail services from the city to the general public over the fiber infrastructure, opening up the network to multiple Internet service providers (ISPs) in an open access framework, or partnering with a single private provider. Following the approval from council, the city will now conduct further stakeholder engagement and a thorough risk assessment of the proposed fiber project.

Reading up on Redding

Redding (pop. 91,000) is the county seat of Shasta County in Northern California. Local industries include lumber, retail, and tourism, and the city is home to Mercy Medical Center. The community may already be familiar to some as Redding was impacted last summer’s devastating Carr Fire. Residents in outer neighborhoods and nearby towns had to evacuate to escape the wildfire, which killed eight people and consumed more than 220,000 acres and 1,000 homes.

The Tallahassee City Commission was divided, but they passed a vote 3 - 2 earlier this month to move forward with a feasibility study focusing on a citywide fiber optic broadband utility. City staff will now begin to prepare a Request for Proposals (RFP) to find a consulting firm to prepare the study.

People Want to Know

Newly elected Commissioner Jeremy Matlow brought the issue to his colleagues, stating that people brought up the subject to him while he was campaigning:

“A lot of people see what other cities are doing, such as Gainesville and Chattanooga, and asked why can’t we do that here...That’s the question we’re trying to answer: Can we do that here?”

Along with Matlow, Elaine Bryant and Dianne Williams-Cox voted in favor of the proposal to fund a feasibility study, the latter favoring the possibility of competition for incumbents Comcast and CenturyLink. “If you don’t want competition, provide better service,” said Williams-Cox. "Let’s look at it and research it,” she said, "and look for funding sources for this."

"We can not stay in the space we are now. We have to move forward. I think it’s worth putting it on the table for discussion,” Bryant said. “We need more information.”

Divided Opinion

While three Commissioners want to learn more about the possibilities, Mayor John Daily and Commissioner Curtis Richardson seemed to firmly oppose any possibility. Primarily, they expressed concern over the estimated cost of more than $283 million dollars to bring fiber to the community of about 191,000 people. City staff developed the figure based on a reported estimate developed by a private sector Internet access company. The ISP wanted to enter the market in Tallahassee and determined that it would cost $150 million to deploy in a limited area.

During the February 2015 referendum, approximately 92 percent who voted on the measure, chose to opt out of SB 152 in Estes Park. The mountain town of 6,300 has experienced catastrophic outages dues to ice and flooding, including in 2016 and in 2013 when telecommunications were wiped out for days.

Estes Park has their own electric utility and is part of a regional public power initiative that involves the Platte River Power Authority (PRPA). As a result the town has a fair amount of publicly owned fiber optic infrastructure in place. City officials hired consultants to offer recommendations and by 2016 had entered a design engineering phase of a possible Fiber-to-the-Home (FTTH) initiative. Experts estimated the cost to connect the community to be around $30 million and recommended a retail model.

At their recent November meeting, members of the Board of Trustees unanimously voted to allow Estes Park staff to issue a Request for Proposals (RFP) to find broadband bond underwriters. To keep the momentum moving forward, the Trail Gazette published an editorial encouraging Estes Park leadership to continue the process and to bring better connectivity to the community:

…Estes Park needs more action and less discussion for greater access to information and global connectivity. No longer is accessible, fast and reliable broadband Internet a luxury; it is a necessity in our digital world.

Editors stressed that Longmont, Fort Collins, and Loveland have either deployed or are in the process of creating gigabit networks and that Estes Park will be left behind in many ways if forced to depend on the same slow, unreliable Internet access that has left them stranded in the past.