UBER - Universal Broadband for a Rural Region
January 2010
In this edition:
STATUS OF FEDERAL BROADBAND STIMULUS FUNDING
Economic stimulus spending in the federal American Recovery and Reinvestment Act (ARRA) included $7.2 billion in grants and loans to improve broadband connectivity.
The broadband funds will be distributed by two agencies, the U.S. Department of Agriculture's Rural Utilities Service and the Commerce Department’s National Telecommunications and Information Administration. First round awards will be announced between December 2009 and February 2010.
NTIA will award $4.7 billion in grants to deploy broadband infrastructure in unserved and underserved areas in the United States, expand public computer center capacity, and encourage sustainable adoption of broadband service. RUS will award $2.5 billion in grants and loans to help broadband deployment in primarily rural communities.
While $7.2 billion is a lot, it’s perhaps ten percent of the total infrastructure investment needed to make quality broadband universally available nationwide.
Broadband from a phone company, typically called DSL, is available to about 3.5 miles from a telephone central office. Broadband from a cable company is typically only available to the edge of a village or city. An ISP must earn a return on its broadband infrastructure investment but a rural area has far fewer customers per mile. The lack of a sustainable business model is usually the reason a private-sector Internet Service Providers (ISP) hasn’t extended broadband to rural regions with low population densities.
Low-interest loans and grants through the federal broadband stimulus program are a form of public-private partnership in which the public sector helps lower capital costs for the private sector, an important step for making it economically feasible for an ISP to extend broadband to more rural residents.
Our broadband infrastructure needs include extending bandwidth to where people live and work (“last mile” projects), and optical fiber “pipes” to connect new users to the World Wide Web (“back haul” or “middle mile” projects).
For federal broadband stimulus applications benefiting our region, I submitted letters of support when requested. As stated in the last UBER update, the entire region I represent, and most of Wisconsin is in the proposed service area for at least one application.
Decisions on which broadband applications to fund are being made by the Obama and Doyle administrations. Awards will likely not be 100 percent grants, so there is no guarantee a provider will find the remaining capital required to proceed with a proposed project. The first round, of about $4 billion, produced 2,200 applications requesting nearly $28 billion – seven times the amount of funding available.
With or without receiving federal broadband stimulus funds, there are actions we can take locally and regionally, to help bring about the day when quality, affordable broadband is available universally in our region. I ask you to join me in being dedicated to that end.
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OUR NEXT STEP: REGIONAL BROADBAND CONFERENCE
A nucleus of folks from the private and public sector is planning a conference on broadband in southwest Wisconsin, to be held in April 2010. I hope to see you there because there are steps each of us can take to help build our community broadband vision.
HAVE A SAY IN YOUR BROADBAND FUTURE
The federal broadband stimulus program alone won’t achieve universal broadband. With or without stimulus grants and loans, additional planning and investment is needed from both the private and public sectors to have quality, affordable broadband available to all.
At the conference you will:
- Meet your local telecomm providers and providers interested in serving your area
- Meet public sector leaders building public-private partnerships for broadband.
- Meet fellow citizens who want to help make the broadband vision a reality in your community.
- Learn about proposals from internet service providers (ISP) to extend broadband in the region and community where you live.
- Learn how universal broadband will benefit ALL community members. For example, an elderly person may never own or turn on a computer but may be able to remain living in their home longer thanks to telehealth care delivered by monitoring equipment via broadband.
- Have an opportunity to become one of the leaders sharing the good news about the benefits of broadband in your community.
- Find out how $7.2 billion in federal stimulus funds will benefit you and your community.
- Learn how you can help bring access to quality, affordable broadband where you live or work.
You’ll receive more info about the conference as soon as the date and place is set.
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WISCONSIN BROADBAND MAPPING and PLANNING MOVES FORWARD
Finally, we’re going to see a good map of where broadband is and isn’t, now that the Wisconsin Public Service Commission has hired LinkAmerica to map broadband services and amass data on how much people are willing/able to pay, the broadband applications people need or want, and other information on availability, speed, location and technology type to help plan broadband expansions.
In early 2010, an interactive tool will be available on the PSC web site www.psc.wi.gov, to let consumers search addresses and see what types of service is available, and at what speeds. Most of the funds for the project come from a federal stimulus award.
Mapping data from every state will be used to create a searchable national broadband map. The national map will publicly display geographic areas where broadband service is available; technology used to provide the service; speeds of the service; and broadband service availability at public schools, libraries, hospitals, colleges, universities, and public buildings.
Census blocks will be used for broadband mapping purposes. Nationally, the average census block has 50 residents or close to 25 households. Current maps are meaningless because they show an entire zip code or telephone prefix area as served if just one household takes broadband.
Wisconsin made a early start on a broadband map in the spring of 2009 when the PSC gave all state residents the opportunity to self-identify the broadband access situation where they live. UBER supporters helped ensure the southwest region of the state was very well represented, a fact that should be considered in deciding broadband stimulus funding awards. See the resulting map at
http://psc.wi.gov/recoveryAct/documents/map3Exchange.pdf
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FCC DEVELOPING DIGITAL DIVIDE STRATEGIES
As part of a national broadband plan due to Congress in February, 2010, the Federal Communications Commission is working on strategies to narrow the digital divide and boost the U.S.'s 63% home adoption rate. Recently, the FCC reported what it thinks are the top five barriers to broadband adoption:
1. Affordability of service
2. Affordability of hardware
3. Insufficient digital and technical literacy levels
4. Unawareness of the personal relevance and utility of broadband technology and online content
5. Inability to use existing technology and applications due to physical or mental disabilities.
Proposed ways to overcome barriers and close that exclusionary digital divide, according to the commission, include looking at:
- The effect of bundled service on affordability,
- The potential effect of a government subsidy for computer purchases,
- Digital literacy programs, and
- A government outreach program using multiple media.
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COMMUNITY ANCHORS ARE IMPORTANT
Because not everyone can afford a computer or the monthly cost of broadband service, some of the federal broadband stimulus money will help ensure better access to broadband for all community members. Significant funds may go to ensure community anchor institutions, like libraries, schools, hospitals and other public places are connected to optical fiber. Funds may help establish or enhance public computing centers at anchor facilities and fund classes on the benefits of broadband and how to access those benefits, open to all community members.
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Please let me know your questions, comments and topics for the next UBER Update. Email me at sen.schultz@legis.wi.gov.
Visit my UBER website for past UBER Updates and more: http://www.legis.wi.gov/senate/sen17/news/Press/2008/pr2008-053.asp
See what I'm up to, share your views in a survey, and start receiving my occasional In Touch with Dale e-newsletter: http://www.senatordaleschultz.com/
Thank you.