Hint of daylight for CASF community broadband funding

30 October 2012 by Steve Blum
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Pretty much any organization would be eligible for broadband infrastructure subsidies from the California Advanced Services Fund (CASF) if the California Public Utilities Commission (CPUC) follows through on a decision made last week and if the California legislature agrees.

Right now, funding is limited to companies that sell telephone lines (very broadly defined) and hold either a Certificate of Public Convenience and Necessity (CPCN) or are registered wireless telephone carriers.

Cities, independent Internet service providers, non-traditional telecoms ventures, community organizations and others can’t get funding directly.

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California cities upsetting FCC commissioner Ajit Pai

“It was Milton Friedman who recognized years ago that the market provides a better way,” said Ajit Pai, who became an FCC commissioner in May as a Republican nominee. “Our deregulatory approach to wireless has been a success.”

Speaking to MobileCon attendees this afternoon, Pai focused on roadblocks that government can create for telecommunications development, contrasting the lightly regulated wireless sector with the more intrusive approach to wireline carriers taken by the FCC and the 50 states.… More

EDA opens new source for broadband funding with $2 million for San Leandro conduit

The City of San Leandro will fill in key gaps in broadband availability in industrial and commercial areas, thanks to a $2.1 million grant from the U.S. Economic Development Administration. The press release is here.

As far as we can tell, this award is the first ever given by EDA for a community broadband project, with credit largely due to the City’s economic and business development staff. They worked closely with the EDA to develop the innovative framework required and to meet the stringent requirements of the program.

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When she's good, she's very good; when she's bad, she's better

28 September 2012 by Steve Blum
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Governor Jerry Brown has until this Sunday, 30 September 2012, to approve or veto Senate Bill 1161, which would prohibit the California Public Utilities Commission or any other California state agency from regulating “Voice over Internet Protocol and Internet Protocol enabled services” until at least 2020.

The bill is controversial and the debate has been emotional. Advocates say it would clear the decks for continued high tech innovation in California, opponents say it would deregulate big cable and telephone companies and allow them to bully consumers and bury smaller competitors.

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Industrial and commercial broadband action plan, strategy adopted by San Leandro City Council

Seven action plan recommendations and an overall commercial broadband strategy were unanimously adopted last night by the San Leandro City Council. The goal is to bring new jobs, businesses and shoppers into the City’s industrial and commercial areas by developing better broadband infrastructure and availability, and encouraging companies and consumers to take advantage of it.

The strategic vision and specific recommendations were developed by Tellus Venture Associates, working closely with City staff.

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San Leandro beats Google's Kansas City broadband speeds

Press release from the City of San Leandro:

San Leandro, Not Google, Is Writing The Next Chapter Of The Internet


Source: Lit San Leandro
“As Google attempts to grab the headlines with its announcement tomorrow of a fiber initiative for Kansas City that will offer users connection speeds of up to 1 gigabit per second, Mayor Stephen Cassidy of San Leandro announced that San Leandro is staking its claim as the fastest city in the nation.
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User-financed FTTP fails in a competitive market

Palo Alto user financed FTTP study

A user-financed, municipal fiber-to-the-premises broadband system would be a financial nightmare if launched into a market with mainstream competition, even if it’s subsidized and supported by a profitable city-owned utility.

That’s the finding of a study presented to the City of Palo Alto’s Utility Advisory Commission last night by Tellus Venture Associates. The report assessed the financial potential of user-financed municipal FTTP options, including upfront payments ranging from $1,000 to $5,000, substantial capital contributions by the City and ongoing subsidies of up to $2,000,000 per year.… More

San Leandro joins elite group of dark fiber cities


Source: Lit San Leandro

Lit San Leandro is putting fiber in the ground. A launch party attracted about a hundred out-of-town development prospects and local business people who heard about the project’s big picture benefits and the specific real estate opportunities it creates. The Hayward Daily Review and San Leandro Patch have good articles on the event. Patrick Kennedy’s Lit San Leandro blog also has good updates and pictures.
Speakers at the event included Sean Tario, the CEO of Open Spectrum Inc.
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Policies, partnerships and common goals attract broadband investment to communities

Capital expense, operating expense and revenue are the basic parameters of a business plan. With broadband-specific incentives that improve those metrics – even marginally – local governments and economic development agencies can attract private broadband investment into underserved areas.

Public policies can be tailored to significantly reduce construction costs. Uniform, broadband-friendly right of way and permit procedures eliminate a huge source of uncertainty for business planners. The more certain they are of their estimates, the more likely they are to invest.… More

Getting back to business with broadband investment

The federal stimulus program overshadowed private sector funding for new broadband infrastructure for more than a year. The National Telecommunications and Information Administration and, to a somewhat lesser extent, the Rural Utilities Service (RUS) threatened to wash out broadband venture opportunities with billions of dollars of grants and loans. Some projects will absorb federal money instead of private risk capital. Most won’t and the surviving opportunities will become evident over the next few months.

demand study
Price points, service benchmarks and likelihood
to buy are key data for revenue projections
Local agencies and economic development organizations still have the job of attracting that investment.… More