In the wake of the new rules issued by the Federal Communications Commission (FCC) to prevent digital discrimination, digital equity advocates from California to Cleveland are leveraging the new federal rules to spur local action.

In Los Angeles, city leaders have passed an ordinance to combat what advocates say are discriminatory investment and business practices that leave historically marginalized communities without access to affordable high-quality Internet. Similar efforts to mobilize communities and local officials are underway in Oakland and Cleveland.

In November 2023, the FCC codified rules to prevent digital discrimination, outlining a complaint process whereby members of the public can offer evidence of digital discrimination being committed by Internet service providers (ISPs). Though the FCC order does not outline local policy solutions, nor does it empower localities to carry out enforcement of the federal rules, it has the potential to open up conversations between local advocates and elected officials about new ordinances, stronger enforcement of existing ones, or public investment to facilitate competition and the building of better broadband networks.

Los Angeles First City in Nation To Officially Define Digital Discrimination At Local Level

The local organizing work behind the proposed ordinance in LA dates back to 2022 when digital equity advocates began to document inequitable broadband access across the county.

Yesterday, New York Gov. Kathy Hochul announced a $228 million infusion of federal funds the Empire State will earmark for its recently established Municipal Infrastructure Program (MIP).

Created as part of New York’s billion dollar ConnectALL Initiative, the MIP is specifically designed to support municipal broadband projects, which have shown to be a viable, and increasingly popular, way to bring affordable, high-quality Internet service to an entire community.

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New York is a notable exception to what most other states are doing as those states prepare to funnel the lion’s share of its federal broadband funds to the big incumbent providers with scant, if any, support for publicly-owned broadband projects. In New York – similar to states like Maine, Vermont, and California – state leaders are devoting a significant chunk of federal funds, all $228 million of its recent disbursement of Capital Projects Funds, to build publicly-owned, open access networks.

Waterloo, Iowa’s municipal broadband project has taken a major step forward after nearly two decades of planning.

Waterloo Fiber officials just launched their first limited fiber trial, will connect their first commercial customers in February, and are on target to deploy affordable fiber at speeds up to 10 gigabit per second (Gbps) to every last city resident by 2026.

When we last checked in with Waterloo in February of last year, the city was putting the finishing touches on a plan to spend $115 million to build a fiber backbone accessible to all 67,695 Waterloo residents, after locals approved the city issuing general obligation bonds to fund the start of the three-phase construction project.

Construction of the network began last summer at a groundbreaking ceremony hosted by Waterloo Mayor Quentin Hart.

“It will be the lifeline that connects our entire community, enabling businesses to thrive, students to excel and families to stay connected," Hart told attendees. "This fiber system will lay the foundation for a smart city innovation, economic growth and an enhanced quality of life for all our residents."

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Last month the city connected the first of four participants in a limited pilot project.

The Idaho Broadband Advisory Board (BAB) has greenlit $120 million in broadband grants from the Idaho Capital Projects Fund (CPF) to fund 18 different broadband projects across Idaho, delivering affordable fiber access to 30,000 homes and businesses, many for the first time.

It’s the latest round of funding made possible by the American Rescue Plan Act, passed in 2021 to help soften the impact of COVID. A breakdown of the finalized awards indicate 18 different providers received funding from BAB, including a $9.8 million award to Comcast and more than $11 million to Ziply Fiber.

“These awarded projects are another important step in furthering the Idaho Broadband Advisory Board’s mission of ensuring that all Idahoans have access to affordable and reliable internet,” Idaho Broadband Advisory Board Chair, Representative John Vander Woude said in a prepared statement. “These projects will connect homes and businesses across the entire State.”

Seven of the award recipients were individual counties pursuing varying options to shore up access to largely rural unserved and underserved residents.

Cullman, Alabama-based Cullman Electric Cooperative says it is launching a new phase of fiber deployment after receiving a $7 million grant to bring affordable fiber access to long-neglected Cullman and Winston counties.

The financing was made possible by the Alabama Broadband Accessibility Fund (ABAF), funded by the 2021 American Rescue Plan Act (ARPA). The state has already dedicated more than $82 million in funding for Alabama broadband deployments, bringing broadband access to 72,000 currently unserved residents.

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Cullman’s $7 million portion will bring affordable fiber access to 1,300 families. Known as Sprout Fiber Internet, Cullman currently offers residential customers symmetrical 300 Mbps (megabit per second) service for $60 a month; symmetrical 1 Gbps (gigabit per second) service for $80 a month, and symmetrical 2 Gbps service for $120 a month.

That’s significantly faster and cheaper service than is currently offered by any of the dominant private telecom monopolies in Cullman (predominantly AT&T or Charter/Spectrum), without usage caps, hidden fees, or long-term contracts.

First Electric Cooperative – and its broadband subsidiary Connect2First – are making major inroads on their quest to deliver affordable fiber Internet service to long-neglected portions of Arkansas.

Buoyed by an historic stretch of federal funding, the cooperative says it’s on target to deliver up to 2.5 gigabit per second service to 72,000 locations by the end of 2024.

Connect2First officials say they’ve deployed 4,371 miles of fiber across 18 counties in the southeastern part of the state, just outside of the state capital in Little Rock, delivering speeds significantly higher than seen in more urban, populous areas. The resulting service is also a notable step up in speed from regional monopolies like AT&T and Optimum, which see little market incentive to upgrade lagging networks or compete on price.

Connect2First residential customers have the choice of three tiers of service: a symmetrical 200 megabit per second (Mbps) connection for $60 a month; a symmetrical 700 Mbps connection for $60 a month; or a symmetrical gigabit per second (Gbps) service tier for $100 a month. The company’s tiers feature no service caps, hidden fees, or long term contracts.

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First Electric Cooperative, headquartered in Jacksonville, Arkansas, began in 1938 with just 3 employees and 150 members. Now with 94,000 electricity customers, it’s one of the largest cooperatives in the country, and the second biggest cooperative in the state of Arkansas.

The American Prospect recently published an analysis – "How Monopolies and Maps Are Killing ‘Internet for All’" – authored by our own Sean Gonsalves that lays out why the federally-backed “Internet For All” initiative will likely fall short of its aspirational goals.

It begins with facts-on-the-ground reporting about the estimated 37,000 households that do not have high-quality access to the Internet in Oakland, California and how cities across the nation are plagued with similar challenges – challenges many digital advocates say is “digital redlining.”

Here's a few excerpts:

“It would be reasonable to think the Biden administration’s $1.2 trillion bipartisan infrastructure law, passed by Congress in November 2021, would change all of this. A significant part of the law devotes $65 billion to a moon shot mission, involving all 50 states and U.S. territories, to bridge the digital divide once and for all. It includes funding to build new modern networks, and other programs to address barriers to broadband adoption, like the Affordable Connectivity Program, which helps eligible low-income households pay for pricey internet bills, as well as initiatives that offer digital skills training and a mandate for the FCC to adopt rules ‘to prevent and eliminate digital discrimination.’”

“Similar to when the federal government set out to bring electricity to every household in America a century ago, the Biden administration intends to do the same with broadband, labeling this historic investment the ‘Internet for All’ initiative.”

“But what hasn’t dawned on most federal and state lawmakers—or at least, it has not been admitted publicly—is that the trajectory we are on will not lead to Internet for All, but something more like Internet for Some.”

You can read the entire story on the American Prospect website here.
 

Officials in Chelan County, Washington say they are making meaningful progress on its decades-old plan to deliver affordable broadband to all 79,000 county residents. After securing financing for its latest planned fiber expansion, the Chelan County Public Utility District (PUD) says it’s exploring options to help finish the job of equitable, affordable, full-county deployment.

Chelan County PUD was formed in 1936 by local voters frustrated by costly, spotty access to electricity. Like so many utilities, cooperatives, and communities, those rural electrification efforts have helped inform the quest for ubiquitous, affordable broadband access almost a century later.

In 2001, the Chelan PUD began building a county-wide wholesale fiber network at a time when PUDs in the state were restricted from offering retail telecommunications services. (Those state statutes were rolled back by state lawmakers in May 2021). The network currently covers roughly 81% of the county, reaching about 39,000 subscribers; 21,000 of which get broadband service through one of the county’s five local ISP partners.

Fort Worth, Texas, (est pop. 956,000) has struck a $7.5 million, 34-year contract with Dallas-based Sprocket Networks to construct a new 300-mile fiber optic backbone to shore up city municipal communications needs, expand affordable access to marginalized neighborhoods, and boost local economic development.

City officials say construction crews are expected to begin work sometime in the next three to six months, with the full network construction expected to cost $65 million and take three years to complete.

Services will first be made available to nine target neighborhoods (including Las Vegas Trail, Como, Marine Creek, Stop Six, Rosemont and Ash Crescent) on a rolling basis. Sprocket Networks will own the finished fiber network.  

“This partnership was entered into with Sprocket with the hopes of eventually getting to universal service in Fort Worth,” Fort Worth IT Solutions director Kevin Gunn told ILSR in a phone interview. “We want the gold standard fiber optic connectivity: 100 megabits symmetric and up available at every doorstep, whether that's a senior family, multifamily or commercial.”

Gunn told ILSR that the city’s initial payment of $7.5 million to Sprocket consists of $4.5 million in American Rescue Plan Act (ARPA) funds, and $3 million from the North Central Texas Council Of Governments, which has allocated some of its transportation budget to broadband improvements the agency will benefit from.

In response to COVID era broadband inequities, the city of Fort Worth last year expanded free Wi-Fi access to 40,000 largely underserved city residents. Gunn indicated that those connections will be slowly phased out as the city transitions to fiber.

In 2021, California passed Senate Bill 156, an ambitious plan allocating $6 billion to shore up affordable broadband access throughout the state.

Among the most notable of the bill’s proposals was a plan to spend $3.25 billion on an open-access statewide broadband middle-mile network backers say could transform competition in the state.

An additional $2 billion has also been earmarked for last mile deployment. Both components will be heavily funded by Coronavirus relief funds and federal Broadband Equity, Access, and Deployment (BEAD) subsidies as well as California State Government grants – with all projects to be finished by December 2026 as per federal funding rules.

But while California’s proposal has incredible potential, activists and digital equity advocates remain concerned that the historic opportunity could be squandered due to poor broadband mapping, a notable lack of transparency, and the kind of political dysfunction that has long plagued the Golden State.

Massive Scale, Big Money, Endless Moving Parts

Still, California’s prioritization of open access fiber networks could prove transformative.

Data routinely indicates that open access fiber networks lower market entry costs, boost overall competition, and result in better, cheaper, faster Internet access. Unsurprisingly, such networks are often opposed by entrenched regional monopolies that have grown fat and comfortable on the back of muted competition.