American Rescue Plan

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Charter Poised to Haul in Half of Montana’s Broadband Grants; Smaller ISPs Raise Questions

Although disappointing for advocates of local Internet choice weary of monopoly providers working to stifle competition, what we are seeing coming out of Montana’s state broadband grant program, Connect MT, shouldn’t be all that surprising.

Last week we learned that the state’s Department of Administration had recommended that nearly half of the Connect MT funding – $126 million – be awarded to Charter Communications, which has been aggressively lobbying Montana legislators (and funding campaigns in opposition to community broadband proposals in other states).

It did not go unnoticed by Montana Free Press deputy editor Eric Dietrich who recently reported that the recommended award to Charter “has plowed into rocky ground as (the state) considers a list of recommended projects this month.”

‘Not Perfect by Any Means’

The story raises questions about the state’s ranking system for proposed projects and notes that the lion’s share of grant money being recommended for Charter “has drawn the ire of smaller, Montana-based companies that want more support for their own networks.”

In hearings this month, Department of Administration Director Misty Ann Giles, the committee’s vice-chair, described the $258 million program as a learning experience for the state government, which hasn’t previously managed a large broadband program. The scoring system the department used to rank applications, she said at an Aug. 2 meeting, ‘is not perfect by any means.’

‘This is a first-in-kind program for the state of Montana, so there’s definitely some lessons learned,’ Giles said.

Giles and committee chair Sen. Jason Ellsworth, R-Hamilton, have also said the state will have the chance to fine-tune its awards process and fund additional projects as it works through additional federal broadband money it expects to receive through the Infrastructure Investment and Jobs Act.

After passage of the American Rescue Plan Act, the Republican-controlled Montana Legislature established advisory committees to make recommendations to the governor about how the state’s Rescue Plan funds should be spent on infrastructure, including broadband.

Cleveland Seeks Partner to Turn ‘Worst-Connected City’ into Smart Fiber City

Three years ago, the National Digital Inclusion Alliance (NDIA) ranked Cleveland as the worst-connected city in the United States (with more than 100,000 households).

City leaders are now using its American Rescue Plan funds to make that dishonorable distinction a thing of the past with a plan to invest $20 million to get the “Comeback City’s” digital future rockin’ n rollin’.

Although the city (pop. 383,000), home to the Rock & Roll Hall of Fame, is currently underserved by AT&T, Charter Spectrum, and T-Mobile, earlier this summer the city issued a Request for Proposals (RFP) that “seeks one or more partners” to help bridge Cleveland’s digital divide following a two-phased approach that first addresses the city’s immediate needs before tackling its longer-term strategic goals.

More specifically, the RFP details “the Phase I goals: ensuring that individuals who do not engage online can become full Internet users as quickly as possible, relying on digital adoption and affordable access strategies. (While) the Phase II goals (envision) —ubiquitous fiber optic connections and Smart City deployments.”

Or, as Cleveland Mayor Justin Bibb told Cleveland.com:

The first phase is on making sure on the short-term basis we connect as many families as we can to high-speed broadband, and the second phase will consist of making sure we lay fiber all across the city so we can be competitive, not just five years from now, but 20, 30 years from now, as a city and as a region.

Technically, the RFP that was issued is to fully implement the first phase of the city’s vision and set the table for the second phase. Work beyond the $20 million the city has set aside would require the issuance of a second RFP.

Local Internet Choice BUDs in Waldo County, Maine

Spurred to action by inadequate high-speed Internet service as the pandemic besieged their communities, local officials and citizen volunteers in five rural Maine towns formed the Southwestern Waldo County Broadband Coalition (SWCBC) in an effort to bring ubiquitous and affordable broadband to its portion of Waldo County.

Two years later, the SWCBC is close to securing a major victory for local Internet choice in the face of a well-funded opposition campaign sweeping the Pine Tree State as the Big Telecom lobby and its allies try to undermine the very idea of publicly-owned, locally-controlled broadband networks in Maine and elsewhere.

The five SWCBC towns clustered about 30 miles east of Augusta – home to approximately 5,600 Mainers – are looking to create what is known as a Broadband Utility District (BUD). Four of those towns (Freedom, Liberty, Palermo, and Searsmont) recently voted in favor of establishing a BUD. Montville will be the last of the five towns to vote on whether to BUDdy up with the neighboring municipalities via an Interlocal Agreement (ILA). That vote is slated for August 23.

Similar to Communication Union Districts (CUDs) that the neighboring state of Vermont is relying on to deliver reliable and affordable broadband to its residents and businesses, Maine state law “allows towns to band together to form a community-owned organization, controlled by the municipality members but a legally separate organization - a regional non-profit utility. The BUD is allowed to incur debt that is separate from and not guaranteed by the municipalities.”

Lancaster County, Nebraska Looking to Build Conduit Network to Rural Areas

About ten years ago, the city of Lincoln, Nebraska (pop. 285,000) began construction on a publicly owned conduit system it would eventually lease to Internet Service Provider (ISP) ALLO Communications to enable better Internet service options to residents. That project entered its final phase in the last two years, but local officials aren’t content to stop there.

Last fall, Lancaster County (pop. 316,000), of which Lincoln is the county seat, embarked on a new conduit system to multiply its success into the future. The expansion will build upon Lincoln’s network to initiate construction into the rural parts of the county and facilitate new connectivity options to three new cities, ten villages, two census-designated places, and nine unincorporated communities.

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Not Content to Sit Still

Lancaster County is situated in the southeastern corner of the state, and the second-most populous one in Nebraska.

Fixed broadband coverage, seen in the FCC Form 477 map below, shows the reality locals are contending with; good coverage in the city proper, but few options once you move into the countryside.

Gary, Indiana Seeks Partner to Build City-Wide Network

City leaders in Gary, Indiana hope to have people singing a song first sung by the city’s most famous family. But instead of relying on The Jackson 5 to lead a reprisal of “Goin’ Back to Indiana,” the sheet music this time is a plan to “deploy ubiquitous, accessible and affordable high-speed broadband to every home and business within the City.”

Two weeks ago, the city issued a Request for Qualification as it seeks Internet service provider(s) for the city to partner with “to build, operate (and) maintain a government middle mile fiber ring leveraging the City’s ARPA funds and working together to obtain additional State funding to ensure the partner deploys commercial and residential retail broadband.” Bids are due by August 12.

While the city wants to build a fiber intergovernmental network to support the city’s government, the plan calls for a city-wide network “that raises all tides on the residential side. That is essential to Gary’s economic future,” Gary’s Chief Innovation Officer Lloyd Keith explained last week during an information session for potential partners.

The genesis of the proposed project, Keith explained, “came from us looking at a study during the pandemic and the issues we were having with students. We are basically inadequate as far as broadband access is concerned in comparison to other communities. So we looked at how we can go about resolving that situation.”

Despite the presence of AT&T and Comcast, Keith described his city of 67,000 just 30 miles southeast of Chicago as still being “underserved” as was made apparent when the city found numerous census tracts with a staggering number of residents who do not have home broadband service.

That’s why, Keith said, now is the time for Gary to leverage its Rescue Plan funds and the federal BEAD program to finance construction of a network that will cover the entire city.

Navajo Nation Nabs $420,000 To Expand Broadband in Utah

The Navajo Tribal Utility Authority (NTUA) is slated to receive more than half a million dollars in Covid-relief funding from the state of Utah. The funding will help the NTUA expand fiber and wireless access to part of the 27,425 square mile Navajo Nation, improving access at Navajo anchor institutions and some of the nation’s 173,000 residents. 

The NTUA was created in 1959 by Navajo leaders frustrated by the fact that regional utilities had failed to provide uniform electricity services to the Navajo people. Still, over 60 years later and not only is the failure to electrify marginalized communities still a problem, the organization is leveraging its experience in that fight to expand broadband access as well. 

Project Timeline: 30 months

To help fix the problem, the Utah Broadband Center, run by the Governor’s Office of Economic Opportunity, recently doled out $420,732 in broadband grants to the NTUA. Combined with $140,244 in matching funds from the NTUA, the project will bring a combination of fiber and wireless to 473 households currently unserved in Montezuma Creek, Utah. 

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The grants were part of $10 million in Covid relief funding recently awarded by the Utah Broadband Center and made possible by the American Rescue Plan Act.

“From the time they sign the contract with the state, they have 30 months to complete the project,” Rebecca Dilg, Director of the Utah Broadband Center, told ILSR. “We are still working out the details of the contracts with all grant recipients.”

Shoring Up the Unserved in Talbot County, Maryland

In the heart of Maryland's Eastern Shore – a place Forbes Magazine considers one of the “Top 5 Coolest Towns to Buy A Vacation Home” – a fiber-to-the-home project is making the region an even cooler place to live.

Building on its historical allure and 600 miles of Chesapeake Bay waterfront views, state, county and local utility officials are making a multimillion-dollar investment to transform Talbot County’s half dozen towns (and a handful of other unincorporated communities) 40 miles east of Annapolis into a far more attractive place to live, work, and play. To do that, they are relying on Easton Utilities, the county’s seat long-standing municipal utility, to expand high-speed Internet access into the most rural reaches of the region.

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In March, the Talbot County Council unanimously approved allocating $1.75 million of its American Rescue Plan Act funds to help bring fiber Internet connectivity to the hardest-to-reach parts of the county. That funding comes on the heels of Easton Utilities being awarded federal and state grant funds totaling $26 million, with the bulk of that going toward a fiber network expansion project known as Connect Talbot, while a portion is being used to upgrade its existing hybrid fiber-coax system.

With construction crews now working to extend Easton Utilities fiber backbone further out into the county, the utilities’ subsidiary – Easton Velocity – is already offering service to over 100 new subscribers.

A Plan for Middle and Last-Mile Comes Together in York County

For the past two years, York County, Pennsylvania (est. pop. 459,000) has been working hard on a multi-part plan to connect both rural and urban areas.  

York began laying out plans for a county-owned middle-mile network in 2020. The idea was to make last-mile hookups viable for private providers in more areas of the county, and to close its major connectivity gaps.

Along with these plans, York launched a middle-mile pilot project along a 16-mile stretch of the York Heritage Rail Trail, which runs from the York metropolitan area in the center of the county down to Pennsylvania’s southern border. The project leveraged $1.5 million in CARES Act funding and a length of conduit that had been lying underneath the rail trail for two decades. The fiber that was deployed currently provides middle-mile capacity throughout the south central part of the county, as well as some wireless coverage from a tower at the stretch’s midpoint in Hanover Junction.

Building Beyond the Pilot

In early 2021, it was left to the YoCo Fiber Broadband Task Force, “led by the York County Economic Alliance and composed of representatives from business, government, health care, education, and other sectors,” to recommend to the county a way to “develop and implement a countywide broadband strategy.”

In July of that year, the Board of Commissioners voted unanimously to spend as much as $25 million of its American Rescue Plan money, under the guidance of the task force. The first $20 million was dedicated to building out the first half of an underground middle-mile network throughout southern York County, which was designed to “connect anchor institutions and build redundancy.”

Gainesville Tosses Muni Broadband Project into Big Telecom Swamp

Gainesville City Commissioners dealt a severe – if not fatal – blow to the expansion of municipal broadband in the Florida city where Gatorade was invented. Last week, five of the city’s seven commissioners voted to reject a proposal to spend $10 million of its American Rescue Plan funds to build a fiber-to-the-home (FTTH) pilot project.

As we reported here and here, city officials had been leaning in the direction of using $10 million of its $32 million in federal rescue plan funds to extend the city utility’s existing fiber network to bring high-speed Internet access to about 5,000 households caught on the wrong side of the digital divide.

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Gainesville Regional Utility (GRU) has already deployed over 600 miles of fiber throughout the city, and for the past two decades, its subsidiary GATOR NET has been offering symmetrical gig-speed service to a limited number of area businesses, apartment buildings, government agencies, and community anchor institutions. 

In 2017, the citizen-led group Connected Gainesville began a public campaign with the hopes of persuading city officials to bring FTTH service citywide in a market dominated by Cox Communications, the incumbent monopoly cable provider serving this city’s approximately 141,000 residents, 56,000 of whom attend the University of Florida.

Death-knell for Municipal Broadband in Gainesville?

Our Big List of American Rescue Plan Community Broadband Projects Hits 250

It’s been nine months since we launched our Big List of American Rescue Plan Act (ARPA) Community Broadband Projects, tracking what communities are doing with the various pots of federal money intended to go towards solving local broadband challenges. Since then, we’ve recorded 250 community projects and 27 states which have announced significant broadband grant programs or disbursement for new infrastructure projects. Here we highlight some of the community projects we’re really excited about, including those that have decided to build their own networks and those building on existing projects, as well as those using ARPA dollars for open access networks, affordable connectivity, or Internet access for students. We also discuss some examples of solutions we believe are less permanent, forward-thinking, or likely to result in long-term success, including the distribution of hotspots and the allocation of funds to monopoly providers. 

What We’re Excited About: Community-Owned Networks and Open Access  

Fortunately, we’re seeing a number of communities approve plans to spend their Rescue Plan dollars on building their own municipal networks. In Lexington, Tennessee (population 8,000), the city is collaborating with Lexington Electric to bring broadband to the community. An ARPA grant is expected to cover about $20 million of the total $50 million price tag, and the city will issue bonds for the rest. If this grant is received, Henderson County (28,000) – where Lexington is located – has agreed to a 10 percent match (from $300,000 to $500,000).