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Update: Restoring Local Authority to Build Community Networks

| Written by Christopher | No Comments | Updated on Jun 26, 2014 The content that follows was originally published on the Institute for Local Self-Reliance website at https://ilsr.org/update-restoring-local-authority-to-build-community-networks/

It has been a busy few weeks for those of focused on restoring local authority to communities over the matter of building Internet networks. But for those of you who are just wondering what is happening, we haven’t done the best job of keeping you in the loop.

A few weeks ago, we noted the blog post by Chairman Wheeler in which he again affirmed his intent to restore local decision-making authority to communities.

Some are wondering if Chairman Wheeler will take action or is just making empty threats. After years of the previous FCC Chair specializing in all talk, no action, it is a good question to ask.

From the information I have been able to gather, I believe Chairman Wheeler is very serious about removing these barriers. And so do the big cable and telephone company lobbyists. They have been spreading their falsehoods in op-eds and convincing a few Congressional Republicans to attack a straw man they created.

Eleven Senators signed a letter to Chairman Wheeler on June 5, in which they claimed he was poised to “force taxpayer funded competition against private broadband providers.” This is nonsense on multiple levels. As we have carefully explained in our fact sheet on financing municipal networks [pdf], the vast majority of municipal networks have used zero taxpayer dollars. This argument is simply a dodge to hide the fact that the big cable and telephone companies want to prevent any possibility of competition.

On June 12, some sixty Republicans signed a similarly misleading letter to the Chairman. What is particularly galling about both letters is that they justify their opposition to any FCC action because the states are closer to the people than “unelected federal bureaucrats in Washington, D.C.”

Can you hazard a guess who is closer to the people and more trusted than elected officials in the state capital? A big gold star to anyone who answered “local governments.” That’s right, the very people who should be deciding this matter and the elected officials that Chairman Wheeler wants to re-empower to make important decisions for their community!

Both letters are framed that the Chairman is forcing local governments to go into competition with the existing industry. He is proposing to ensure only that the state cannot block local governments from making that choice merely because the cable and telehpone companies spend millions of dollars lobbying the legislature with no countervailing force.

And it is worth noting that some states, including North Carolina at the behest of Time Warner Cable, have not only prevented local governments from building their own networks but also effectively banned communities from investing in infrastructure that third parties could use to compete with the big carriers.

Fortunately, this false framing from the industry is not the only recent development. We have seen the formation of CLIC – the Coalition for Local Internet Choice, which you should be a member of.

We have seen letters from local ISPs and Mayors (some of which will soon be posted here) to Chairman Wheeler explaining the importance of encouraging investment in next-generation networks. This from Mayor Bruce Rose of Wilson, North Carolina.

This approach has also produced strong enduring results. The City of Wilson’s credit rating was upgraded by Moody’s and Standard and Poor’s in late 2008, shortly after the Greenlight service launched. I am proud to note that Moody’s recently maintained our Aa2/A1 bond rating after 6 years of operating this broadband network, in a report which emphasized the highly responsible nature of our city’s implementation of this Gigabit network, and its projected long term stability.

The upshot is that we have an FCC Chair who wants to restore local authority but an industry that is going to respond to any effort along those lines with lies and smears. Nothing we aren’t used to, but we need to get organized. Join CLIC, pass resolutions, and write letters.