Close to connecting subscriber number 500, Owensboro, Kentucky’s OMUFibernet is also ready to continue expansion to more neighborhoods as they develop their publicly owned Fiber-to-the-Home (FTTH) gigabit network.

Incremental Growth

In 2016, Owensboro Municipal Utilities (OMU) decided to experiment by engaging in a pilot project that offered gigabit connectivity to approximately 500 premises. The project also allowed businesses within the geographic areas to lease fiber if they chose a more flexible option. 

The success of the pilot project encouraged OMU to expand OMUFiberNet to the rest of the city. Now that almost 30 percent of potential subscribers have signed up, OMU is ready to move into yet another neighborhood. OMU Telecommunications Superintendent Chris Poynter recently told the Messenger-Inquirer:

"We have been very deliberate in how we grow our service area. It has to be both cost-effective and fair. What we really did not want to do is cherry-pick desirable demographics. What we said from the very beginning was that we are a municipal utility and we’re all about serving the community, so we’re going to let technology and cost determine how we deploy it."

OMUFiberNet offers three tiers of service with all speeds symmetrical. A one-time installation fee of $49.99 applies:

50 Megabits per second (Mbps) for $49.99 per month

100 Mbps for $69.99 per month

1 Gigabit per second (Gbps) for $99.99 per month

"Can We Go to Grandma's?"

Subscriber Connie Singer and her grandkids have been using OMUFiberNet for about a year; Singer moved into a new home that was already connected to the network. Her grandchildren are gamers, she says, and OMUFiberNet provides “the fastest Internet service she’s ever seen.” The symmetrical gigabit service allows the household to run two gaming computers at once.

She also likes the fact that all her utilities, including Internet access, are on one utility bill. “It’s amazing,” she says.

Deliberate Growth

In September, Reedsburg Utility Commission (RUC) in Wisconsin announced that they’re simplifying life for subscribers. They’ve eliminated service tiers and now everyone who signs up for the service receives affordable, symmetrical gigabit Internet access from their recently rebranded LightSpeed service.

Rebranding, Redefining Fast and Affordable

Back in May, RUC decided that they would renew their efforts at marketing by launching the new LightSpeed brand. At that time, they were already signing up new customers for the great gigabit deal, which translated into prices as low as $44.95 per month for 1,000 Megabits per second (Mbps or one gigabit) when purchased as part of a bundle. RUC also offers voice and video.

RUC has been offering Internet access to Reedsburg’s approximately 10,000 people since 2002. In 2014, they were the first in Wisconsin to offer gigabit connectivity. Over the past 16 years, they've expanded into different areas around the city in order to share the benefits of the network.

Growing That Gig

With the new gigabit offering to all, Reedsburg will venture out to two new areas. They received two grants from the state to expand to the Village of Spring Green and the Town of Delton.

In Spring Green, located about 30 miles due south of Reedsburg, town officials have been working with the RUC to obtain the funding to bring high-quality Internet access to town. The grant will help fund the first phase of the project, which will bring better connectivity to several community anchor institutions, the school district, and multiple government facilities. In bringing LightSpeed to Spring Green, approximately more than 260 residential and 35 commercial premises will also have access to fiber.

Skies have been brightening for the Utah Telecommunications Open Infrastructure Agency Network (UTOPIA). The trend is continuing for the network that has seen rough times in the past, testament to their fortitude, creativity, and ability to turn lemons into lemonade.

Finishing Layton

Most recently, UTOPIA announced that they had reached an agreement with the town of Layton, Utah, to finish deploying fiber infrastructure to residents and businesses. UTOPIA plans to have deployment in Layton, where approximately half of the city currently has access to the infrastructure, completed within 24 months.

According to Jesse Harris at Free UTOPIA!, expert at all things UTOPIA, this build out varies from deployment in the earlier days of construction in a few ways:

For starters, UIA [Utah Infrastructure Authority] can now issue bonds on its own authority. This means cities no longer have to use their bonding capacity to back them. The Layton plan also has the city backing the bonds using city franchise fees. If the subscriber numbers fall below what is required to pay the bond (which, to date, has not happened in a single UIA expansion area), the city pledges to cover the difference. On the flip side, if revenues exceed the bond payments (which has happened in most UIA expansion areas), the city gets to keep a cut of that for whatever they want. This could include paying off the original UTOPIA bonds, funding other city services, or anything else, really. It’s important to note that this revenue split option is only available to cities who assumed the original debt service.

Harris speculates that, due to the housing boom in the region, UTOPIA may face a difficult time recruiting the people they need to build the network. There are also almost two dozen potential UTOPIA communities engaged in feasibility studies. All these factors, in addition to the possibility of access to materials, may impact the ability for the network to expand at the rate they’d consider ideal.

10 Gigs for Residents

In January, we reported that UTOPIA announced a financial milestone — for the first time, revenue covered bond payments and also allowed a 2 percent dividend for most member communities. 

The mayor doesn’t usually show up at your house when you switch to a new Internet service provider, but for Erin and Isaac Herman of Centennial, Colorado, that’s exactly what happened. In early September, they became the first official Fiber-to-the-Home (FTTH) subscribers in Centennial when Internet service provider (ISP) Ting connected their home with fiber optic lines. An event held at their house brought together community members and local officials to celebrate the “lighting” of the fiber line, a culmination of years of hard work by the city to develop a publicly owned dark fiber network.

To provide Internet access, Ting leases strands of Centennial’s open access fiber network, constructing its own lines to connect homes and businesses to that backbone. The Herman family and other subscribers now have superior connectivity as a result of the investments made by both their local government and the private company.

Plans for households range from 5 Megabits per second for $19 per month to symmetrical gigabit speeds for $89 per month. Centennial residents can pre-order on Ting’s website.

Fifth “Ting Town” on the Map

Ting operates fiber networks in five U.S. cities. In addition to Centennial, Ting delivers fast, affordable, reliable connectivity to subscribers in Charlottesville, Virginia; Holly Springs, North Carolina; Sandpoint, Idaho; and Westminster, Maryland.

Determining if a publicly owned network is right for your community is a multi-step, complex process. Many factors will influence whether or not the residents, business owners, and local leaders in your community will want to make an investment in Internet access infrastructure. ILSR’s Community Broadband Networks Initiative is now working with NEO Partners, LLC,* to help local communities in the early phases as they consider investing in publicly owned infrastructure. For a limited time, a few select communities will receive special pricing to help spread the word about the Community Networks Quickstart Program. Apply by September 28th to be considered as one of the pilot communities.

Let us know at: info@cnquickstart.com

Please include the proposed study region, an estimate for the number of premises to be considered, and any relevant factors. We will select up to four communities with the goal of having a mix of rural and urban, large and small, and geographic distribution.

Knowledge of the Possibilities is Power

When it comes to planning for deployment or expanding existing infrastructure, one of the most challenging unknowns is cost. With our new Community Networks Quickstart Program, we will provide cost estimates for three possible models for communities who sign up for the service:

1. Full Fiber-to-the-Premise

2. Full Wireless

3. Hybrid

In addition to an estimate on cost, we will consider the size, population, and other characteristics of your community and provide advice and resources that will be the most effective for your community’s situation. You’ll also receive a recommended design that you can refer to as you work with consultants, engineers, and as you apply for grant or loan funding. Our mission is to give you some preliminary information and guidance to make your work with an in-depth consultant more effective. We are not replacing the need for in-depth design work.

Each community is unique, so after you provide some basic information about your community, we'll seek out more specific data to help with our analysis. We’ll hold a conference call with you to review the results and provide documentation on our analysis and additional resources that we believe will provide additional insight.

Holland, Michigan, has now officially transitioned from construction into operation of their downtown fiber optic network.

After a spring decision to expand the range of the initial pilot project, community leaders began contemplating the possibility of offering Internet access directly to the public. Local residents and businesses had long remained unsatisfied with the options they had from incumbents AT&T and Comcast. Entrepreneurs and business owners took to pressuring elected officials into making more use of the community’s existing fiber to improve connectivity.

Holland Board of Public Works (BPW), which had deployed the fiber in the 1990s, used its fiber infrastructure for electric utility purposes and had already been offering wholesale services to a limited number of local businesses. They’ve taken a slow and steady approach toward their pilot and expansion efforts in order to investigate all the options as they move forward.

As in the case of pilots in Westfield, Massachusetts, or Owensboro, Kentucky, the success of the pilot in Holland will help determine whether or not the BPW will extend the network to more residents and businesses. According to the Holland Sentinel, BPW had connected 96 downtown subscribers to the network as of September 13th. The new connections will generate approximately $135,720 in annual revenue and BPW is still taking subscribers at their website.

Subscribers can sign up for symmetrical gigabit access for $85 per month or enhanced gigabit connections for $220 per month. The latter offers additional features that businesses are most likely to need, such as static IP addresses, service level agreements, and priority restoration.

Helping Out Neighbors, Too

What started as a pilot project back in 2014 has consistently expanded to more addresses. Now the “Little Gig City” has put a date on when they expect to complete the final phase of their community-wide fiber network — early 2020. “Right now we feel like we’re kind of in the home stretch,” says Erwin Utilities fiber optic engineer John Williams. 

When The Time Was Right

The small town of Erwin, Tennessee first explored the possibility of bringing Fiber-to-the-Home (FTTH) to its residents in 1999. At the time, however, the community chose not to pursue a publicly owned network because only 20 percent of homes in the area had a computer and the initial estimated cost of over $20 million was too high for local palates. The market changed over the next few years and in 2012, the town finally felt it was time to invest. They constructed a fiber backbone that connected 45 SCADA locations and six county schools. By 2014, the city announced plans to develop a pilot project for business and residential connectivity in the downtown area.

The pilot project reached approximately 1,000 premises; the utility’s goal was to achieve a 25 percent take rate to ensure the service would be self-sustaining. According to Williams, the utility swiftly surpassed their goal and are now at 36 percent subscribership in the original deployment area. Erwin Utilities has expanded, passing a total of approximately 5,000 premises out of 9,000 total potential premises, which are also electric service customers.

Because Tennessee municipal utilities are subject to state law that limits their Internet service area to their electric service footprint, Erwin can only provide connectivity to a limited number of premises. The law creates a situation that protects incumbent monopolies, but forces rural folks who obtain electric service from a different provider to rely on ISPs that generally offer poor Internet access options via DSL or expensive satellite service.

The Ultimate in Self-Reliance

The city of Solon, Ohio, has their eyes on Hudson, their neighbor about 10 miles to the south. Both communities have a population of around 23,000 but Hudson businesses have access to the publicly owned fiber network and community leaders are considering expanding the service to residents. In order to explore the idea further, Solon city leaders have decided to fund a feasibility study.

Steady Stream of Complaints

At a recent meeting of the Solon City Council Finance Committee, the city’s Director of Information Technology Jim Gibbs presented his memo outlining why he believes now is the time to issue a Request for Proposals (RFP) for a feasibility study.

People and businesses in Solon are not happy about their current choices, and they let Gibbs know about it:

I receive a steady stream of complaints and requests for help from Residents and Businesses to get access to better Internet Service Providers, and what I believe is the most telling of the need for this project is, most people are not complaining about cost. Most are complaining about the very poor level of service they are being forced to endure by the largest players in this space, AT&T and Spectrum. 

While many subscribers focus their complaints on rates, hidden fees, and baffling billing, it's no surprise that Soloners don't like the options they have to choose from or find issues with reliability. Residents and businesses located in places where a publicly owned network is an option, often cite better customer service as the catalyst for switching from incumbent ISPs. Municipal network subscribers have the luxury of obtaining service from a provider centered in their community, rather than from a company with headquarters located several states away. Paying the bill or addessing concerns can be done in an effective, face-to-face manner.

Looking for Options and Possibilities