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[IP] State laws and lobbying





Begin forwarded message:

From: Dewayne Hendricks <dewayne@xxxxxxxxxx>
Date: December 1, 2004 4:22:33 AM EST
To: Dewayne-Net Technology List <dewayne-net@xxxxxxxxxxxxx>
Subject: [Dewayne-Net] State laws and lobbying
Reply-To: dewayne@xxxxxxxxxxxxx

State laws and lobbying
<http://www.muniwireless.com/archives/000513.html>

As more communities adopt Wi-Fi, mesh, and pre-WiMAX technology to provide universal, affordable broadband service to citizens and businesses, incumbent providers increase their state-by-state lobbying efforts to place more restrictions on community involvement. Today, at least fourteen states have passed legislation restricting or prohibiting municipalities from owning, operating, funding, or profiting from broadband services. Many state-level political leaders question a municipality's ability to run a telecommunications utility or they oppose the government offering services that could be provided by the private sector. Those arguments ignore the needs of many communities and the trends in wireless broadband technology.

Visitors to this site read about one successful community deployment after another. In fact, many of these deployment allow municipalities to recoup their investment after only a short time – while strengthening local economies and contributing to social development. In truth, most communities deploy these networks when incumbent providers have failed to offer universal service at affordable prices or when there are compelling Digital City applications that make a community safer and stronger.

Communities committed to providing wireless broadband service need to consider the influence and power incumbent providers have at a state level, and develop a proactive strategy to gain support for their initiatives.

After community leaders have decided to pursue a wireless broadband initiative and clarified the project's objectives, the community's state legislative delegation should be contacted. Ideally, once they see the value the technology and network can bring to their district, state legislators will be eager to participate on the public project team or committee. A legislator's involvement insures that he or she will inform local community leaders about potential legislation that could threaten the project, protect the initiative from incumbent lobbying efforts, and add great credibility to the project at the local and state level.

Supportive legislators can also educate the Governor and his or her staff on the community initiative, wireless technology, and Digital City applications. It is critical that governors understand and support community wireless projects for a number of reasons. Most governors have the authority to veto legislation passed by both state houses. Even a veto threat can be enough to limit support for a bill. Therefore, a governor's support for a project can be critical once an incumbent provider begins lobbying against a community initiative or calling for a ban on municipal-funded broadband networks.

Support from the governor's office can also lead to a statewide strategy for universal broadband access. In at least two states, successful community deployments led to the creation of statewide broadband agencies that assist communities with planning and funding a wireless broadband network. In states where technology agencies already exist, support from state legislators and the Governor's office can attract their participation and assistance throughout the project.

This lobbying work must be done early in a community wireless broadband project, before it receives any press attention. State leaders like to know about a project before it is in the newspaper. In fact, if they support the initiative, they will probably want to be included in the public announcement. Once a project receives publicity, incumbent providers begin their lobbying process, making it critical to have state support lined up. As the initiative progresses, make sure your local legislative leaders are consistently thanked for their support and recognized at the state level for their leadership. The partnership a community builds with a legislator or a delegation must be a two way street – it must provide value for the political leader as well as the project.

Some people more familiar with technology might question why all of this effort is necessary to protect a city project with support from the state level. According to the Center for Public Integrity, private companies spent over $889 million lobbying state legislators throughout the United States in 2003. Telecommunications companies represent a large piece of that pie and usually have dozens of lobbyists on staff to represent their interests. The money and time they spend in state capitols leads to great influence that requires a cogent strategy by city leaders deploying wireless broadband networks. Otherwise, communities in great need of universally available and affordable broadband will continue to be at the mercy of companies whose overriding interest is not public service or bridging the Digital Divide, but their own bottom line.

Even where state laws are already in place to restrict or prohibit municipal involvement, new and innovative business models can be considered to allow projects to continue. For example, the use of a nonprofit entity, with a social charter, may address incumbents’ concerns and still allow the goals of municipalities to be met. Other approaches for wholesale access and private consortiums may also be used, depending on the specific state statutes.

Lastly, many concerns raised by incumbent providers fail to recognize that wireless technologies often provide a different value proposition, and therefore do not compete directly with Cable and DSL services. For example, wireless technology allows for nomadic and portable access by subscribers, something that wired solutions inherently cannot support. The Digital Cities of the future will require more than fixed broadband Cable and DSL.

*****

Matt Stone is a co-founder and the Government Strategist for Civitium LLC, a consulting firm that helps city and state leaders deploy wireless broadband networks and enable Digital City applications. He has worked with government leaders at every level as a Warner Robins, Georgia City Council member, former speechwriter and advisor to now Georgia Governor Sonny Perdue, and Wireless Coordinator with the Georgia Department of Education. Matt recently authored "Wireless Broadband: The Foundation for Digital Cities," a cookbook for local leaders interested in deploying a community wireless broadband network. The cookbook can be downloaded for free at http://www.muniwireless.com/reports/cookbook1form.html

For more information on state regulations on cities interested in broadband utility networks, visit http://www.civitium.com/states.htm
Posted by Muniwireless November 28, 2004

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