We have covered developments in the town of Indianola, Iowa, where the community decided to build their own network in 1998. The original purpose for investment was to use the network to enhance public safety and increase efficiency with SCADA applications. In 2005, however, the network began offering telecommunications services to local businesses. As of October, Indianola Municipal Utilities (IMU) began offering fiber-to-the-home to residents as it gradually begins expanding the use of its fiber asset.

You can now hear firsthand about the network, its history, and how the municipal utility navigated the journey to its next-generation open access network. Craig Settles interviewed Todd Kielkopf, General Manager of IMU, in an August Gigabit Nation podcast. The two discuss IMU's evolution since 1998. They also talked about the unique advantages that exist when a community considering network infrastructure investment already has a municipal utility in place.

Kielkopf tells how the driving factor for the fiber installation was to allow easier management and communication between utilities. When a 1990 franchise agreement with MediaCom was about to expire, the city investigated options. Hopes were that that the city could build a fiber network and MediaCom would offer services over that network, but that vision was never embraced by MediaCom.

Iowa law allowed the city to hold a referendum asking residents for permission to provide telecommunications services through the municipal utility's network. The referendum passed and they created a five year financial plan. Financing was with taxable and tax exempt bonds. The electric utility would build and own the network and a new telecommunications utility would license to a private partner that would offer retail services. Now, IMU and Mahaska Communication Group (MCG) have an agreement whereby MCG provides retail services over the network. While the agreement is not exclusive, no other providers currently use the network.

We have covered happenings at Burlington Telecom, both positive and negative, extensively. We are glad to report some interesting new developments of this Vermont municipal network. BT is rolling out faster connections and using its competitive advantage in customer service to offer some computer repair services. Joel Banner Baird at the Burlington Free Press reported:

Without cash reserves and promotional enticements available to BT’s commercial competitors, the fiber-optic Internet/phone/cable provider will focus on its strength in customer service, said interim General Manager Stephen Barraclough.

As our readers know, BT is in the midst of a pending lawsuit with Citibank, wherein the financial giant says the city still owes it $33.5 million. The network's troubles, including misuse of public funds by the previous Mayor, have hurt its ability to generate income and Burlington's credit rating has suffered.

While fixing PCs certainly won't pay mounting legal fees, it will make life easier for customers. Details include a $25 diagnostic fee and a rate of $45 per hour plus materials. More about the service is available on the PDF of the official anouncement.

A more recent announcement puts Burlington among the few communities with citywide access to a gig. Burlington Telecom is in the midst of upgrades and will be offering 1 Gbps service and 40 Mbps service starting on December 1, 2012. Both options are symmetrical.

40 Mbps - $99.99 per month

1 Gbps - $149.99 per month when committing for one year; or $199.99 per month with a month-to-month arrangement

View a PDF of the official announcement flyer.

On September 19th, the Urbana Champaign Independent Media Center (UCIMC) hosted "Models for Building Local Broadband: Public, Private, Coop, Nonprofit." Christopher Mitchell was one of several panelists who discussed local broadband options and challenges.

The presentors live streamed to 138 attendees with 93 watching remotely various locations and 45 at the Media Center. If you were not able to attend or stream the live event, you can now watch the archived version. You can learn a little about the event and watch it at the UCIMC website, or watch the YouTube video here.

We have closely followed the efforts of WiredWest, the collaborative project involving 37 (and growing) towns in western Massachusetts. The group is currently collecting pre-subscription cards to show support for the project. The pre-subscription results will also assist efforts to finance the project by documenting the existing demand.

Plans for the 2,000 mile fiber optic network continue to inch forward with every new town that joins the group. Estimated cost for the network is between $60 million and $120 million and, as the cooperative grows, so does the group's ability to successfully apply for grants and issue bonds. Much of the cooperative's business and technical expertise comes from in-kind contributions from its members. We see Wired West as a prime example of communities coming together to take control of their own destiny.

A recent Berkshire Eagle article by Scott Stafford discussed some of the results from a March marketing survey. From the article:

Average survey respondents have two computers (desktop, lap-top or notebook devices) in the home. And while 88 percent currently have some type of home Internet service, 45 percent are dissatisfied with the speed of their Internet.

The survey also showed that 25 percent who responded currently run a business from home or telecommute. An additional 30 percent said they would likely operate a business out of their home or telecommute if they had better Internet access.

He spoke with Monica Webb, Chair of WiredWest's Executive Committee, who pointed out some economic realities:

"Many people are saying they would start a home-based business or telecommute if they had better broadband access," Webb said. "And there are a number of second homeowners that would stay in the county longer, or relocate here full time, if there was better Internet service."

The impact on the regional economy could be significant. Webb described the role of broadband access to the local economy as "fundamental infrastructure," comparable to the telephone service and electricity.

SandyNet, of Sandy, Oregon, recently announced that it plans to expand Internet service with fiber to every home and business in the city. The network, which has serviced the community for ten years, currently offers fiber to businesses along the Highway 26 corridor. Wireless service is available throughout town and in some rural areas around the City.

SandyNet plans to provide a range of tiers for fiber connectivity. Preliminary rates include residential fiber service of 100 Mbps for $39.95. Business service will vary from $69.95 per month to $499.95 per month for 1 Gbps. Construction is scheduled to begin spring of 2013 and the utility estimates service to be available by the end of the year in most neighborhoods.

The City will be working with i3 America, which uses city sanitary and sewer storm pipes as a makeshift conduit for fiber optic cable. i3's "FOCUS" system uses special armorerd cable designed to withstand a harsh environment and does not affect operation of clean or wastewater systems. Because this method uses existing pipes, construction costs can be up to 70% lower than traditional burying of conduit and fiber. The location of cable is much deeper in the wastewater pipes, so there will be less chances of damage due to construction or the elements.

From the press release:

The City of Sandy last year sponsored a "Why Wait for Google?" contest to gauge interest in fiber Internet service, and to select a neighborhood for a pilot program. Resients in every neighborhood expressed interest in the service , and i3 approached the city with a proposal to extend fiber to every building in the town.

Similar to the Google Fiber deployment in Kansas City, neighborhoods that show the most interest will be hooked up first. Residents and businesses are encouraged to sign up now.

Joe Knapp, IT Director and General Manager of SandyNet offered some details via email:

Chattanooga's EPB Fiber just announced that current customers will receive a bump up in speed at no extra cost for its FI-Speed Internet service.

Residential customers on three separate tiers will automatically receive an increase in speed with no increase in price. The upgrade has already happened and customers can immediately take advantage of the new speeds.

According to an Ellis Smith article in the Chattanooga Times Press:

EPB, which offers gigabit fiber-optic Internet speeds across its Chattanooga service area, is upgrading customers to celebrate its third anniversary in the fiber-to-the-home market, said Harold DePriest, president and CEO.

“Enhancing our FI-Speed Internet was something we could do to celebrate, so we did it,” DePriest said.

This is the second time EPB has upgraded service to customers for free. In 2010, EPB upgraded 15 Mbps service to 30 Mbps service. Oh, and the prices haven't increased over the three years. Look back at your cable bills from Comcast, Time Warner Cable, or others, and you'll likely find that rate increases outnumber speed boosts.

New speed (and old rates) look like this:

$57.99 - 30 Mbps symmetrical increases to 50 Mbps symmetrical

$69.99 - 50 Mbps symmetrical increases to 100 Mbps symmetrical

$139.99 - 100 Mbps symmetrical increases to 250 Mbps symmetrical

As an added bonus to cutomers on the 1 Gbps symmetrical tier, their rates will drop from $349.99 to $299.99.

Fierce Telecom's Sean Buckly shared some perspective on the change:

While major cable MSOs, including local operator Comcast, have been responding to the higher speed FTTH offerings made by the likes of Verizon and their 300 Mbps tier, it's clear cable's best offerings don't come close to what EPB can offer.

Comcast's 105/20 tier is priced at $115 per month plus the price of the modem rental, while Chattanooga EPB customers can get 250 Mbps symmetric service for $139.

And for all its accusations, Larsen says Mediacom will not sue. Spending millions of dollars on a lawsuit in a place where the company serves so few homes, he said, "is not a great business decision."

The conflict that ensued is part of a national struggle. Public officials and some of their constituents argue that rural broadband is like rural electrification: It's a lifeline for small-town America that the free market will not extend. "We've been ridiculously underserved in this area for years," said Andy Fisher, who owns a Lake County bed-and-breakfast and a rural cross-country skiing lodge. The cable companies "are working in the interest of their profits. But if they're not going to serve this area, what are we going to do?"

"Lake County wants to make this into a David and Goliath story, where Mediacom is Goliath and poor little Lake County is David," said Tom Larsen, Mediacom's group vice president of legal and public affairs. "The truth is we're David because we're fighting [the government]. It's just the same story repeated all over the country."

We told you earlier this year about Indianola, Iowa's network, filling the gap for businesses where private providers had failed. At that time, the network only served local businesses and community anchor institutions, but plans to provide fiber-to-the-home in their community of 15,000 are now unfolding. The town passed a referendum back in 1998 to build a fiber ring which was used first by the local Indianola Municipal Utilities (IMU) for SCADA and for public safety. The goal was to expand incrementally. It later partnered with Mahaska Communications Group (MCG), located in Oskaloosa, Iowa, about 50 miles west of Indianola. 

According to the IMU website, residential retail services will be available from MCG after October 1, 2012. 

Monthly rates will include triple play at $99.95, double play packages between $49.95 and $94.95, and 25 Mbps symmetrical Internet at $39.95. Residents can upgrade to 50 Mbps for $5 extra or 100 Mbps for an additional $10.00. Home Wi-fi is only and additional $5.95 per month. For complete details, check out their rate sheet PDF.

The network also leases fiber that connects community anchor institutions to the Iowa Communications Network, which provides video to K-12 schools, higher education, hospitals, state and federal government, National Guard armories, and libraries. The network also connects to BroadNet Connect, which is the network used by Iowa Health Systems for telemedicine in rural Iowa.

We reported on Dunellon, Florida, last year - time for a refresher and an update.

You may recall that Dunnellon is a small community with only about 1,900 people in 2004, located in the north central part of the state. The City of Dunnellon watched as surrounding communities gained jobs and people, while its phosphate mining industry limped along.

Dunnellon decided to invest in its own fiber network to spur economic development and provide the services Comcast and AT&T considered unprofitable in the rural area. The town secured financing through a traditional bank loan in 2010. Dunnellon's biggest challenge was building a network from scratch, but the town now has over 100 miles of installed fiber in Marion County. The service, Greenlight Dunnellon Communications, offers triple play at great rates.

From an article on the Communications Technology website:

The potential to improve the local economy through Dunnellon’s high-speed fiber network also is evident. Several neighboring counties, the local Marion County school district and numerous businesses are in the process of finalizing contracts to secure high-speed connectivity through the city’s network and to leverage such benefits as disaster recovery and failover. The city also believes area healthcare providers will benefit from the ability to connect directly to nearby facilities.

According to [Eddie] Esch, [the City of Dunnellon’s director/Public Services and Utilities] “As we progress in this project, we have uncovered so many exciting and promising new opportunities that it’s like watching the bubbles in a glass of 7-Up percolate to the top!”