The SMBS broadband project is a joint powers agreement between eight communities in southwestern Minnesota to build an open access fiber network. They have been awarded a $12.8 million loan/grant and have built 58 miles of their transport ring so far, passing over 1,700 homes and businesses. They currently have 300 customers but expect 1,100 by May. Three member communities have municipal electric utilities and two provide cable TV, demonstrating potential future coordination between the broadband and utility networks.

1. SMBS Update-MMUA Winter
Legislative Conference

2. Who is SMBS?
• Joint Powers Agreement between eight
communities in the southwestern corner of
the state
• At project completion we will pass over 3,700
homes and businesses in our member
communities
• Awarded a $12.8 million loan/grant by the
Rural Utility Service
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3. Tie to Municipal Power
• Three of our communities have their own municipal power
systems:
– Lakefield
– Jackson
– Round Lake
• Two of our communities are the existing cable television
provider:
– Lakefield
– Jackson
• One of our communities provides a wireless internet
product (Round Lake)
• All of these member cities have staff that split time
between the Power Utility and the Municipal Power System
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4. How did we get here?
• Member cities met in spring of 2008 to prepare for a
broadband stimulus application
• Utilized Blandin Foundation dollars to build a feasibility
study for a community wide Fiber-to-the-Premise
network
• Used that document to prepare a successful stimulus
application
• Member communities and Jackson County provided
the additional $1.5 million dollars to fund the project
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5. Service Provider Partner
• SMBS partnered with the City of Windom to
provide backbone services to the project
• Eliminated the need to build our own voice
switch, ISP infrastructure and video headend
• Also share a General Manager between the
two projects
• The partnership allowed us to turn up services
faster and to eliminate approximately $2
million in capital costs
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6. Current Progress
• Have built 58 miles of the transport ring
• Have completed construction in five
communities and 1,700 passings
• Currently 300 customers on the network
• Planned to have 1,100 customers by turned up
by May (65% penetration)
• Construction of rest of network to begin after
thaw, will complete in 2012
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7. Future Coordination with Power Utility
• Completing construction of network before
contemplating additional services
• Future services could include:
– Connection to Smart Meters
– Using the fiber network as an additional trouble
shooting tool for power network outages
– Other meter reading and customer management
services
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8. For Additional Information
John Schultz
651 967-7196
jschultz@u-rekabroadband.com
www.u-rekabroadband.com
www.mysmbs.com
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