Internet connectivity in Vermont’s Northeast Kingdom is, well, downright medieval by modern telecommunication standards. With the exception of a handful of homes in the more densely populated communities of St. Johnsbury and Newport, the only choice for most folks living in the rural environs of the Northeast Kingdom is between DSL and satellite.

That’s all changing now thanks to one of the state’s nascent Communication Union Districts (CUD), enabled by a 2015 Vermont law that allows two or more towns to join together as a municipal entity to build communication infrastructure. These local governmental bodies were formed to help the state reach its goal of having universal access to broadband by 2024.

In the Realm of Broadband, Fiber is King 

Formed in March of 2020, the NEK CUD has already raised $743,000 through a variety of grant programs, and, over the past year, has forged a partnership with Kingdom Fiber using COVID-relief funding to connect nearly 100 homes in the towns of Albany, Craftsbury, Greensboro, Hardwick, and Irasburg.

Now, the NEK CUD, known as NEK Community Broadband, has taken another major step on the path to bringing fiber connectivity to all residents and businesses in the 55 towns that comprise the district. Last week, the NEK CUD approved a $120 million business plan that will deploy about 2,800 miles of fiber across the region, passing 33,000 premises, according to NEK Community Broadband Chairman Evan Carlson.

“It’s mostly DSL here with 49 percent of addresses (in the Northeast Kingdom) not having access to anything 25/3 Mbps (Megabits per second) or above,” Carlson told us in a recent interview.

“I had HughesNet at one point and I was paying $150 a month. But now I have StarLink. It’s not perfect but…,” Carlson began to say, as his connection froze for about 10 seconds.

Hark! FTTH Cometh to the REAP Zone

Fifteen years ago, Covington Electric Cooperative (CEC) was the first in the southeast region of Alabama to bring its members online with dial-up Internet access. And while it has since left the broadband business, it announced at the beginning of April it plans to come back in a big way, connecting all of its members once again through its new Fiber-to-the-Home (FTTH) network, Buzz Broadband. 

Buzz Broadband is a new subsidiary that will provide FTTH broadband service to members across its six-county territory and more than 23,000 households. CEC chose the name, because “like the mighty bee, high-speed broadband is a force to be reckoned with. Having fast and reliable access to such technology takes the sting out of meeting deadlines, virtual learning, working from home and running a business.”

CEC started building out the backbone in January and is on track to finish by the end of this month, with the first members coming online this fall. According to CEC’s 2021 Annual Report, “expansion to all CEC members will be done in phases and will take a few years to be complete.”

Initially, the FTTH build out was supposed to take four years, but with all the enthusiasm around the network, Short asked the board if CEC could fast track the build out to two years. He said that’s what they are aiming for, and when Buzz Broadband was announced, it was made clear that the board is “committed to making high-speed fiber broadband access available to every CEC member by 2025, if not sooner.”

“We’re on track to invest $65 to $70 million in two years, where our electric plan was only $180 million give or take, and it took us 77 years to get to that point,” Short said. “It’s quite an accelerated cash flow.”

Overwhelming Support

Earlier this year in March, the Biden Administration signed the American Rescue Plan Act, which included, among many other things, multiple sources of funds for broadband infrastructure. The U.S. Department of Treasury was tasked with writing the rules of how local governments can spend the various funds. The Interim Rule has been published and it appears to significantly limit local ability to invest in needed networks. 

The rules say that communities are expected to focus on areas that do not have 25/3 Mbps service reliably available. But there is no measure of what “reliably” means (in federal statute or otherwise). More than 90 percent of Americans have 25/3 “available” to them by best estimates. The result is considerable confusion for urban areas across the nation who no longer qualify for broadband investments under a strict reading of the proposed rules. This is not what the Biden Administration had suggested we should expect in its many press communications about its broadband approach. 

This discussion is about Section 602, which details the direct payments to local governments under the Coronavirus State Fiscal Recovery Fund. The aid offered to local governments has numerous authorized expenditures, including broadband infrastructure.

The Atlantic Telephone Membership Corporation (ATMC) is expanding gigabit fiber Internet access with financial assistance from federal and state grants to provide high-speed broadband to residents living in some of North Carolina's most rural, poverty-stricken regions.

A $7.9 million federal allotment from the USDA’s ReConnect Program, to which the North Carolina-based telephone cooperative is contributing matching funds, has kickstarted a $15.87 million Fiber-to-the-Home (FTTH) broadband deployment project in one of the Coastal Plains’ southernmost counties.

ATMC recently completed construction of the first four phases of its 60-phase “Faster Columbus” project, connecting residents living in the New Life community east of Tabor City to its gigabit fiber service. Upon completion of all 60 phases, the project will provide ATMC’s FOCUS Fiber Internet service to 2,775 unserved households in rural Columbus County. The completed project will also serve over 50 businesses, ten educational facilities, three critical community facilities, and 23 agricultural operations in the communities of Hallsboro, Lake Waccamaw, Bolton, north Tabor City and Whiteville.

The fiber Internet service ATMC is providing is expected to have a substantial impact on the region’s agriculture industry, one of the main sectors of the local economy. The FTTH service will also benefit the Waccamaw Siouan Indian Tribe, whose reservation is located on the edge of the Green Swamp. Speaking of the anticipated service, Brenda J. Moore, Housing Coordinator of the Waccamaw Siouan Indian Tribe said, "Finally our Tribal students can look forward to no more boot-legging of Wi-Fi in order to do their homework."

Snapshot

Nebraska Senate rejects amendment supporting municipal broadband in spending plan

Michigan Governor vetoes bill granting private ISPs property tax exemptions

Montana, Iowa and Maine channel Rescue Plan funds towards new broadband grant initiatives

The State Scene

Nebraska

The Nebraska Senate approved a plan to spend $40 million over the next two years on expanding rural access to high-speed Internet by a unanimous vote on Tuesday, but only after an amendment to L.B. 388 that would have allowed municipalities to offer retail broadband services was rejected.

State Sen. Justin Wayne introduced the amendment, saying that “broadband should be considered a critical infrastructure need and that private telecommunications companies have not stepped up to serve the whole state,” the Lincoln Journal Star reports.

Wayne urged Nebraska Senators “to look to Nebraska's history of public power as a model, as well as to the example of other states that are allowing cities to offer broadband.” The amendment ultimately failed by a vote of 20-24. Wayne assured fellow Senators that he will reintroduce the amendment in the future. 

The bill marked the first time the Nebraska Legislature has suggested using state tax dollars to fund broadband deployment. As it was submitted to Gov. Pete Ricketts for his signature, the bill would annually allocate, until funds run out, $20 million in grants to projects that increase access to high-speed broadband in unserved regions of Nebraska. It would prioritize projects in regions which lack access to Internet service with speeds of at least 25 Megabits per second (Mbps) download/3 Mbps upload. Grant recipients would be required to deploy networks capable of providing service of at least 100/100 Mbps within 18 months. 

Michigan

Welcome to In Our View, a new series here at MuniNetworks. From time to time, we'll use this space to explore new ideas and share our thoughts on recent events playing out across the digital landscape, as well as take the opportunity to draw attention to important but neglected broadband-related issues.

Special thank you to ILSR Data and Visualization Researcher Michelle Andrews for noticing the Michigan discrepancy, and for her contributions to this piece.

Earlier this month, the Federal Communication Commission (FCC) released updated Form 477 data, the primary source of information used for the FCC’s broadband coverage maps and the basis upon which federal agencies and states make major funding decisions.

With new interim leadership from FCC Chair Jessica Rosenworcel – who has been well-aware of the FCC’s dubious track record of publishing imprecise, insufficient, and often inaccurate broadband coverage data – you will be disappointed if you were expecting any improvements in the newest data set. 

Filers had until March 26, 2021 to make revisions to data that was submitted by September 1, 2020 for service they provided as of June 30, 2020. When the updated data was first released on April 7, it indicated that nearly the entire state of Michigan had access to 10 Gbps (Gigabit per second) broadband, thanks to Form 477 data provided by Strategic Alliance CDC (see map below, or a high-resolution version here).

Historical Error Repeats Itself

Last fall we wrote about the launch of Project OVERCOME, a grant program "designed to connect the unconnected through novel broadband technology solutions" by soliciting applications from community-based organizations and ultimately award $2.7 million funded through the National Science Foundation and Schmidt Futures (the philanthropic initiative founded by Eric and Wendy Schmidt).

Project OVERCOME seeks to "[C]ollect data to measure the technical and social impacts of different connectivity strategies [in order to] discover patterns of success that can be repeated on a larger scale across the country, and to catalog the distinctions that emerge based on variations in the communities served."

Each of the winning projects will serve as an incubator of sorts, deploying proofs of concept with an array of wired and wireless technologies to connect households in 

Winning applications were recently announced for projects in Blue River, Oregon; Detroit, Michigan; Buffalo, New York; Yonkers, New York; Cleveland, Ohio; Clinton County, Missouri; and Loiza, Puerto Rico.