Wednesday, May 4, 2011

NC Senate Votes to Limit Broadband Expansion

Okay, so that's an inflammatory title for this post. But that's precisely what the NC Senate has done in supporting the so-called “Level Playing Field/Local Government Competition”.

Among other restrictions on local government involvement in broadband, the bill limits the footprint of a public network service area to the official corporate limits of that entity as well as imposing operational limits.

This piece in the Davidson News demonstrates the stakes for a small town, attempting to collaborate with neighboring towns to build an inter-jurisdictional network:
The bill’s new rules would require cities and towns to get voter approval for any debt they issue to pay for communications networks. They also would have to hold public hearings on their plans. And since cities and towns are exempt from taxes, they would be required to make payments in lieu of taxes to themselves equal to what a private company would have to pay.
The community's experience with privately provided cable and, later, Internet service is typical of smaller communities across the nation. Davidson, nearby towns, and the surrounding unincorporated reaches of Mecklenburg and Iredell counties experienced the frustration of twenty years of de facto monopoly providers, takeovers, and service limited service, as a previous Davidson News piece explains.

But the NC Senate is not an institution that will allow simple pragmatics, a solid business plan, and the interest of communities stand in the way of an ideological commitment. Let's hope this bill is eventually stopped in its tracks.

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