Cedar Falls Utilities is bringing 10 Gigabit per second (Gbps) Internet access to the last 700 residents in its electric service area. With the help of a $2.3 million state grant, Cedar Falls Utilities fiber ISP - CFU FiberNet - will be connecting rural residents to the west and north of Cedar Falls city limits. 

Up until this point, CFU FiberNet has offered rural residents in the utilities service area without a fiber connection a fixed wireless option called WaveNet Wireless with two speed options: 9/1 Megabits per second (Mbps) for $56/month and 18/2 Mbps for $75/month. We do not know if WaveNet Wireless will continue after the expansion into these rural areas is complete. 

The funds were awarded through the Empower Rural Iowa Broadband Grant Program which had nearly 180 applicants hoping for a grant from the $97.5 million pot of money. Ultimately, 38 projects were chosen. Winning bids aimed were aimed at two groups of households, with the requirement to deliver at least 100 Mbps symmetrical service to what we usually call “underserved” areas (where service is greater than 25/3Mbps but less than 100/100 Mbps), or 100/20 Mbps service in areas where broadband access is currently less than 25/3 Mbps. 

The challenge for these CFU electric subscribers to get onto the fiber network was the $7,500 cost of the drop; households in rural areas all around the country face a similar financial obstacle, even when excellent broadband service is nearby. With CFU contributing an additional $3 million to the effort (making the total project cost $5.3 million) these residents will no longer have the burden of making that hefty financial decision. 

Because its downtown buildings were made to resemble Windy City architecture, Fort Dodge was once nicknamed “Little Chicago.” But now, this north-central Iowa city with a population of just under 25,000 is building something the real Chicago, 360 miles east of Fort Dodge, does not have: a municipal fiber-to-the-home (ftth) network.

Having secured up to $36.8 million in loans from a consortium of local banks, the Cedar Rapids-based engineering firm HR Green has been hired by the city to put together a final engineering and design plan for a city-wide fiber network.

The RFP to do the construction work will go out to bid in late spring 2022, with actual network construction slated to begin in the summer of 2022. City officials say the new utility will likely begin offering high-speed Internet service to Fort Dodgers as soon as the summer of 2023, though the network won’t be fully built-out city-wide until 2024.

Unserved, Underserved and Poorly Served

In many rural communities, local governments, cooperatives, public entities, or nonprofit organizations will sometimes build the infrastructure necessary to deliver high-speed Internet service to the unserved and underserved because incumbent providers don’t see enough short-term ROI to justify the expense. But in more densely populated locales, municipal broadband is often pursued because the existing service from private providers simply isn’t up to par. The market has failed rural, suburban, and urban communities - just in different ways.

And that’s why in cities like Fort Dodge, the feasibility study commissioned by the city hits on a familiar refrain found in feasibility studies across the nation:

“Despite being the largest city in the region and key commercial hub, Fort Dodge telecommunications infrastructure is less advanced than in surrounding rural areas and small towns like Lehigh, Dayton, and Badger.”

Broadband was on the ballot as voters went to the polls for Election Day in many areas. Here’s a quick run-down of what happened.

Colorado

The Colorado state law (SB-152) that bans local governments in the Centennial State from establishing municipal broadband service suffered another defeat at the ballot box. Since the law was passed nearly two decades ago, more than 150 Colorado communities have opted out. That number continues to grow and we can now add the town of Windsor to the list of municipalities in the state who have voted to restore local Internet choice.

At the polls yesterday, 77 percent of Windsor voters said yes to Ballot Question 3A, which asked “shall the Town of Windsor, without increasing taxes by this measure, be authorized to provide high-speed Internet services (advanced services), telecommunications services, and/or cable television services … either directly or indirectly with public or private sector partners?”

Vinton, Iowa’s municipal communications utility, iVinton, connected its 1,000th subscriber with high-speed fiber optic Internet service this week.

Demand for fiber-to-the-home (FTTH) connectivity across the 4.74-square-mile Iowa community (est. pop. 5,100) is so substantial that iVinton, governed by the Vinton Municipal Electric Utility (VMEU), is having to schedule installations a month out as requests for residential service have surpassed the manpower available to complete them as quickly as they had hoped. 

As the telecommunications utility transitions out of its start-up phase – from working with external consultants to bringing all operations in house and limiting outside vendors – the biggest challenge iVinton has had to overcome is not having enough employees to take on the necessary roles, Matt Storm, iVinton’s Municipal Communications Manager, told ILSR in a recent interview. 

Still, the utility is plugging away to keep up with requests for residential installations as iVinton is eager to meet the surge in demand. “We’re supplying a service that’s needed for the community, and the community has responded,” Storm told ILSR.

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Just over a year into the municipal fiber network being operational, 1,000 of 2,450 residential and business premises, or 41 percent of the available premises in Vinton have made the switch. They've been lured by increased bandwidth, a higher quality of service, and the benefit of iVinton being a local provider with service technicians in town. Today, iVinton offers three symmetrical speed tiers to residents: 100 Megabit per second (Mbps), 250 Mbps, and 1000 Mbps connections for $70, $90, and $120 per month respectively. 

Fort Dodge City Council is moving forward with a plan for a long-awaited municipal telecommunications utility project, adopting several resolutions Monday night that will allow the city to enter into a future loan agreement of up to $40 million for a fiber-to-the-home (FTTH) project. 

“We need to get this up and running as fast as possible,” Councilman Dave Flattery said at the meeting.

The city currently depends largely on Mediacom and Frontier for broadband Internet access, both of which are among the lowest rated service providers by the American Consumer Satisfaction Survey.

Along with the future loan agreement, the council passed a resolution setting a timeline for bids on its Request for Quotes for the fiber network procurement materials. Proposals are due August 13th. 

The council agreed to continue working with HR Green - an engineering firm that helps both private and public entities with a variety of engineering projects, including broadband, across the country - on the design and construction plans for the network.

The city will pay HRGreen $1.7 million spread over three phases of the project for its services, with hopes to start construction on the fiber-to-the-home project by the summer of 2022. 

The meeting also included the proposed rates for potential services, starting at 100 Megabits per second (Mbps) symmetrical for $75/month and 1 Gigabit per second (Gbps) symmetrical for $95/month for residential services. Businesses that sign up for symmetrical service from one of three tiers: 100 Mbps for $100/month, 250 Mbps for $250/month, and 1 Gbps for $500/month.

Snapshot

Michigan broadband package repeals law prohibiting state grants from going to government entities

Montana Legislature duplicates federal limitations against schools and library self-constructing networks

U.S. House Republicans bill would give USDA authority over rural broadband, in place of FCC 

The State Scene 

Michigan

Michigan Gov. Gretchen Whitmer issued an executive directive on Wednesday establishing the Michigan High-Speed Internet (MIHI) Office, a new state office tasked with developing a strategy to make high-speed Internet more accessible to Michiganders. 

Gov. Whitmer has argued that more than $2.5 billion in potential economic benefit is left unrealized each year due to a lack of Internet access across the state. MIHI will be housed inside the state’s Department of Labor and Economic Opportunity (LEO). Speaking of the new office, LEO Acting Director Susan Corbin said, “We need to make major investments to support digital inclusion and this office will be focused on leveraging every dollar available through the American Recovery Plan and other federal programs,” reports WILX.

Michigan lawmakers are moving to answer Corbin’s call and recently proposed a $400 million one-time allocation of incoming federal relief funds to the newly created MIHI to work toward expanding access to broadband. With the funds, LEO would be tasked with maintaining a statewide broadband grant program, the Connecting Michigan Communities Broadband Grant. 

Last summer we wrote about the slow but steady progress the city of Waterloo, Iowa (pop. 68,000) has been making towards improving local connectivity options for residents and businesses needing it. The city hired Magellan Advisors to perform a feasibility study for a possible Fiber-to-the-Home (FTTH) network in the fall of 2019, but things have been mostly quiet since, with news outlets reporting on a reluctance to release the results of the study for fear of what incumbent cable provider Mediacom would might do to hinder its efforts.

These fears are not without reason, given the company’s previous efforts in the region to slow the specter of municipal competition with lawsuits, complaints, and propaganda efforts in its service territory.

When last we heard the feasibility study would be released this spring, and while we still have not seen a copy, Waterloo must be encouraged. The city’s Telecommunications Board of Trustees established a resident-led municipal broadband utility committee on January 27th, giving the group the charge of tackling “risk mitigation, community marketing, digital infrastructure and finance and business strategy” for a future network.

When the announcement was made, Board Chair Andy Van Fleet said the work would serve as "critical pillars to move this project forward successfully when the time is right to turn the plan into actionable items."

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

Update: The Community Broadband Action Network (CBAN) notes that it looks like SSB 1184 is dead, having been shelved in committee yesterday. They say the "bill was briefly discussed by a subcommittee of the House Commerce Committee on February 16th, but postponed 'indefinitely.'"

Original story:

Less than a year after an attempt to hamstring municipal broadband in Iowa, local opponents are at it again. If you’ve been around the block, Senate Study Bill 1184 will look remarkably similar to SSB 3009 from last January 2020, and that’s because it’s nearly identical. 

Like its last incarnation, SSB 1184 threatens the viability of any new municipal broadband effort by placing draconian financial barriers in the way, and, if passed, handcuffs existing networks as well as those under construction. Though there are no public fingerprints on the bill, the word around the capitol is that Mediacom is behind it. Among its provisions are those that would: