Hostile takeover of California broadband subsidies on ice, for now

18 July 2017 by Steve Blum
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The attempt by telephone and cable companies to hijack the California Advanced Services Fund – the state’s primary broadband infrastructure subsidy program – is derailed, for at least a few weeks and probably forever. Keeping in mind that forever in Sacramento’s dictionary means until the next legislative session, which begins in January.

Assembly bill 1665 was pulled off of this morning’s agenda in the senate’s energy, utilities and communications committee, which means that it can’t be considered again (in the normal course of business) until lawmakers return from their summer break on 21 August 2017.… More

AT&T, Frontier want right of the first night in rural California

16 July 2017 by Steve Blum
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One of the perks that telco and cable lobbyists slipped into a broadband infrastructure subsidy bill pending in the California senate is the right to take the first look at proposed projects in unserved rural areas, so they can decide whether or not they want to be the ones to consummate the deal. In medieval times (or at least in the movie Braveheart) something very similar was called jus primae noctis, the right of the first night, where a feudal lord claimed the privilege of taking a newly wedded bride to bed.… More

CPUC debunks Frontier's service claims, approves FTTH grant in Phelan

The high desert community of Phelan, in San Bernardino County, will get gigabit class fiber to the home service. The California Public Utilities Commission voted four to one yesterday to approve a $28 million grant to Race Telecommunications, which will cover 60% of the cost of building the project. The single no came from commission president Michael Picker.

The decision had been delayed two weeks, while Race and Frontier Communications explored ways they might work together.… More

California bill magically improves broadband service to 280,000 homes

13 July 2017 by Steve Blum
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If too many Californians have substandard broadband, the best way to fix it is to lower the standards. That’s the perverse logic that’s captured the thinking, such as it is, of a senate committee that’s considering a rewrite of California’s primary broadband infrastructure subsidy program. It would let AT&T and Frontier Communications fence off poorly served rural communities from competition, and get taxpayer money as a reward.

As the senate energy, utilities and communications (EU&C) committee’s analysis of assembly bill 1665 explains…

This bill would alter the current CASF goal by reducing the eligibility speed to 6 Mbps/1 Mbps from the current 6 Mbps/1.5Mbps and exclude CAF II areas, as well as, areas where incumbent providers claim they plan to deploy service.

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Opposition wave stuns California broadband subsidy grab

11 July 2017 by Steve Blum
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An effort to turn California’s broadband infrastructure subsidy fund into a monopoly preservation program is stalled, at least for a week. The chair of the California senate’s energy, utilities and communications committee, Ben Hueso (D – San Diego), opened yesterday’s meeting with the announcement that consideration of assembly bill 1665 was postponed until next Tuesday, 18 July 2017. He gave no reason for the delay, but it’s worth noting that dozens of organisations – counties, broadband consortia, independent Internet service providers and others – withdrew their support last week after AT&T and Frontier Communications turned it into a blatant pork barrel bill, instead of the thinly disguised one that was approved by the California assembly.… More

California broadband subsidy vote postponed, perhaps until 2018

10 July 2017 by Steve Blum
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A California senate committee delayed consideration of a bill to rewrite broadband subsidy rules until next week. Assembly bill 1665 was on the agenda for the energy, utilities and communications committee this morning. As the hearing began, the chair, Ben Hueso (D – San Diego) announced that it had been postponed until next Tuesday, 18 July 2017. No reason was given, but it appears that the flurry of opposition that followed last week’s amendments were a factor.… More

Support crumbles for California broadband subsidy grab

10 July 2017 by Steve Blum
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UPDATE: the hearing on AB 1665 was delayed until next week. More info here.

Last week’s amendments to assembly bill 1665 went too far for many of the organisations that were supporting it, particularly those with an interest in developing broadband infrastructure and countering incumbent monopolies. The changes allowed AT&T and Frontier to fence off most of their rural California systems from potential competitors, while getting privileged access to the $300 million in construction subsidies contained in the bill.… More

California broadband subsidy amendments protect telcos' bad rural service

6 July 2017 by Steve Blum
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Get used to it.

AT&T, Frontier Communications and cable companies would be able to freeze broadband development in unserved areas of California and get priority access to broadband subsidy money, under the terms of a newly amended bill to reinstate a tax on phone bills and use the money to top up the California Advanced Services Fund (CASF). The latest version of assembly bill 1665 tracks with a draft circulated last week and is designed to freeze out independent broadband infrastructure projects.… More

San Bernardino FTTH decision delayed again

30 June 2017 by Steve Blum
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The California Public Utilities Commission couldn’t come to a decision yesterday on a $28 million grant from the for a fiber to the home project in the San Bernardino County community of Phelan. Despite false starts and nearly two years of review, commissioners put off a vote on Race Telecommunications’ Gigafy Phelan proposal until at least their next meeting.

They were responding to a stream of late protests from Frontier Communications, which is getting federal subsidies to upgrade service to some of the same homes.… More

California telcos, cable double down on greedy with broadband subsidy grab

29 June 2017 by Steve Blum
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If you’re going to scam taxpayer money, why not go all the way? That seems to be the rationale of telephone and cable company lobbyists as they, once again, rewrite a proposed law that would effectively funnel $300 million to incumbent cable and telcos, for little or nothing in return.

Assembly bill 1665 began as an attempt to put more money into the California Advanced Services Fund (CASF), which provides partial grants – usually 60% to 70% of capital costs – for broadband infrastructure projects in areas where service is either completely lacking or doesn’t meet the California Public Utilities Commission’s minimum 6 Mbps download and 1.5 Mbps upload standard.… More