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Thomas Cohen on FTTH Council Race to the Top Program


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Presentation to the Minnesota Governor’s Task Force on Broadband -- August 13, 2013

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Thomas Cohen on FTTH Council Race to the Top Program

  1. 1. FTTH COUNCIL’S GIGABIT COMMUNITIES RACE-TO-THE-TOP PROGRAM Presentation to the Minnesota Governor’s Task Force on Broadband -- August 13, 2013 Thomas Cohen, Kelley Drye & Warren LLP
  2. 2. FTTH Council Gigabit Communities Initiatives  Community Toolkit  Becoming a Fiber-Friendly Community  Gigabit Communities Race-to-the-Top Program  Gimme Fiber Day – November 4th
  3. 3. FTTH COUNCIL COMMUNITY TOOLKIT From Gigabit Envy To Gigabit Deployed
  4. 4. FTTH COUNCIL COMMUNITY TOOLKIT • • Purpose – Provide communities with a roadmap for the deployment of gigabit, all fiber networks • Value Proposition – Unlimited bandwidth transforms communities • Building and Implementing the Business Plan – Creating a community asset inventory – Initial Financial Spreadsheet (courtesy of the Blandin Foundation) – Federal and State Resources
  5. 5. FTTH COUNCIL COMMUNITY TOOLKIT • RFP Templates • Six different models to fit different communities (courtesy of Gig.U) • Building Community Support • Creating a community leadership team and organizing support • Managing the Project • Going to contract (Google KC Agreement) • Deploying the network • Council Community Toolkit Conference May 2013 • Contact the Council for Presentations
  6. 6. BUILDING A FIBER-FRIENDLY COMMUNITY • 214&source=1 • Community Leadership and Support – Develop a clear Broadband Plan – Ensure commitment of community stakeholders • Government Approval Requirements and Permitting – Define an expeditious process for on-going permitting and inspections – Permit innovative construction techniques – Build out requirements have proven counterproductive; instead provide incentives
  7. 7. BUILDING A FIBER-FRIENDLY COMMUNITY • Use of Existing Infrastructure – Publish data about existing infrastructure – Make all rights-of-way and poles available on clearly defined, reasonable terms through a rapid approval process – Ensure make-ready work for poles is performed expeditiously – Coordinate pole maintenance and make-ready work with the network provider – Allow prospective attachers to perform/direct make-ready work
  8. 8. BUILDING A FIBER-FRIENDLY COMMUNITY • Proactive Measures to Improve Infrastructure and Expedite Deployments – Provide space on poles for new attachers – Install ubiquitous fiber conduit – Use building codes and community development plans to drive fiber deployments
  9. 9. GIGABIT COMMUNITIES RACE-TO-THE-TOP PROGRAM • The Petition – FTTH Council petitioned the FCC on July 23, 2012 to establish a Gigabit Communities Race-to-the-Top Program • The Opportunity – Unlimited bandwidth can “transform the mindset and capabilities of a community” • The Challenge – While communities want gigabit networks, there is a gap between the high up-front cost of the network and the lag in obtaining sufficient revenues
  10. 10. GIGABIT COMMUNITIES RACE-TO-THE-TOP PROGRAM • The Program Objective – Bridge the market gap by seeding a critical mass of gigabit communities, lowering the cost of deployment and creating sufficient gigabit applications – • The Program – A competitive grant program to award Catalyst (seed) Funds in Tier II and III communities for the deployment of symmetrical gigabit networks – Modeled on the Department of Education’s Race-to-the-Top Program for states; Complements the FCC’s new E-Rate Proposal
  11. 11. GIGABIT COMMUNITIES RACE-TO-THE-TOP PROGRAM • Program Funding – $150M in annual Catalyst Funding for 5 years – Approximately $20M per project ($10M in Catalyst Funds with 100% match) – Funding Source – “Unused” support from the FCC’s Connect America Fund Phase I/Phase II programs (after support is rejected by price cap – larger – telcos)
  12. 12. GIGABIT COMMUNITIES RACE-TO-THE-TOP PROGRAM • The Projects – Deploy within 2 years a gigabit network to community anchor institutions and their surrounding neighborhoods and, in doing so, seek to maximize the value of the gigabit network for the entire community – Largely last mile deployments (with additional middle mile connectivity if required) – No overbuilding of existing networks with same gigabit capabilities – Examples – Health Care Center; Community College
  13. 13. GIGABIT COMMUNITIES RACE-TO-THE-TOP PROGRAM • The Project Team – Facilities & Service Providers • Public or Private (Incumbent or Competitive Provider) • Not necessary to be an Eligible Telecom Carrier – Local governments – Community anchor institutions
  14. 14. GIGABIT COMMUNITIES RACE-TO-THE-TOP PROGRAM • Project Selection Criteria – Involvement of and Connections among Community Anchor Institutions and Associated Neighborhoods – Reasonableness of Business Case – Efficiency of Deployment – Efficiency of Network – Amount of Matching Support – Opportunities to Stimulate Deployments and Advances in Applications Development – Service Provider/Vendor Experience and Financial Soundness
  15. 15. GIMME FIBER DAY • FTTH Councils’ Global Alliance initiating annual celebration – November 4th – Birthday of Dr. Charles Kao, inventor of fiber optics • In North America, we are featuring one of our FTTH communities – Will focus media outreach on community’s leadership, economic and social applications due to FTTH – We will announce the community at the FTTH Annual Conference and Expo next month in Tampa