Bill Alert: HB60 dropped from the agenda AGAIN

I’m beginning to think that Rep. Curt Webb is trying to win a “most indecisive legislator” award or something. I’ve gotten word (from three sources) that HB60 has been pulled from the House  Government Operations Committee hearing yet again. There’s no indication yet on when it will now be heard, but we’re certain to get at least 24 hours of notice. With the President’s Day holiday coming up, I think we can at least stand down for the weekend.

As always, I’ll provide updates when they’re available.

Zombie Bill: HB60 comes back, committee hearing Friday at 8AM

Despite looking like it’s dead, HB60 is coming back for a committee hearing on Friday at 8AM. This is the best chance to kill the bill for good, so it’s very important that as many opponents as possible come to the hearing and voice their opposition. The bill is currently fourth on the agenda, so even if you’re a bit late, you’ll likely be able to get a chance to speak.

Now is the time to email, call, or visit members of the committee to urge them to oppose this bill. Showing up will make the most difference. If it dies in committee, there’s a good chance it won’t come to a floor vote at all.

BREAKING: HB60 may have died in committee

I went to check the status of HB60 this morning and noticed the status has changed to “House Comm – Not Considered”. This means that the committee responsible for hearing the bill has declined to do so. Without a committee hearing, the bill has little chance of passing at all. There’s still the possibility that once the rules are suspended that it could be brought to a floor vote, but that appears to be unlikely and would be a “hail Mary” kind of move.

As always, I’m going to keep watching this one until the session is over, but it looks like we may have won this round handily.

Bill Alert: HB60 held again

Rep. Curt Webb has held HB60 again to make some additional modifications. It will be heard again either Wednesday or Friday. I’ll post more as it becomes available, though notice of the agenda change wasn’t made until minutes before the committee meeting. CenturyLink is definitely watching this one as their head lobbyist, Eric Isom, was spotted outside the committee room.

Rep. Webb was also on a radio interview opposite Pete Ashdown and was reportedly unable to articulate a good reason to pass the bill. I’m hoping he withdraws it before there’s more egg on his face.

Brigham City on Macquarie: Yes, please

On Thursday night, the city council in Brigham City voted to move forward on a predevelopment agreement with Macquarie. This is a positive step towards bringing $300M in investment to UTOPIA, completing the buildout in all member cities, and contributing money towards the UTOPIA bond payments and Lending Tree. Unfortunately, the meeting wasn’t without theatrics and hysterics with plenty of incoherent rants and untruths during the public comment period. We even got a special Hitler reference from one of them.

You can watch the work session and city council meeting online (skip to 33:00 to begin public comment). The work session includes a very informative history of how private industry failed to build the infrastructure the city needed to keep businesses. Some quick facts from the work session and council meeting:

  • In Brigham City, a total of 1600 people signed up for the SAA and about 1300 are current subscribers to the service, about 26% of the city.
  • Brigham City is currently not contributing any payments towards UTOPIA’s operational shortfall of about $2.1M per year.
  • UTOPIA’s revenues raised much faster when they started primarily targeting business customers.
  • January’s income is much higher than expected.
  • Anything beyond the current plan to slowly grow the network to profitability would be a much more expensive option. But we already knew that, didn’t we?
  • Reissuing the bonds would be very expensive because of the way the current bonds are issued.
  • The network will remain the property of the member cities. Macquarie is primarily interested in a return on their investment, not ownership. To break even, they’d need to bring in $10M per year over the life of the contract.
  • Per Ken Sutton, owner of UTOPIA ISP Brigham,net, if the network doesn’t make a profit, Macquarie doesn’t get paid. Period.
  • The woman who canceled the RUS loan to UTOPIA is now an executive at Frontier, the incumbent operator in Tremonton. Isn’t that special?
  • Per their IT director, Box Elder School District depends on UTOPIA for 55% of students to get Internet access. They have no other fiber options available to them.

As expected, Ruth Jensen was combative for much of the work session, fitting her previous history of more-or-less unhinged opposition to UTOPIA. She even went so far as to propose suing UTOPIA, calling it “enslav[ing] the people”. The city attorney promptly smacked her down, saying that it would be the city effectively suing itself. (Skip to ~38:00 in the work session video to see it for yourself.)

So far, West Valley City, Layton, and Tremonton have also signed on. Centerville and Murray are considering it this week. Payson, as usual, is hoping that the whole thing will just go away and is ignoring anything UTOPIA-related. Word around the campfire is that all of the other cities want to move forward on a full study.

Broadband Bytes for 2014-02-07

Bill Alert: HB60 to be heard Monday in the House Government Operations Committee

I just got notified that the House Government Operations Committee has added HB60 to its agenda on Monday February 10 at 2PM. The meeting will be held in Room 20 in the House Building and this is the first agenda item. If you can be there to speak as a member of the public, I strongly encourage you to do so. Public opposition is the best way to kill bills like this!

The Tipping Point: Are restrictions on muni broadband no longer feasible?

Only a few years ago, it seemed like any kind of anti-municipal broadband legislation was a slam dunk in state legislatures around the country. North Carolina’s outright ban and Utah’s continued imposition of restrictions with no purpose promoted a kind of defeatism that once the incumbents found a willing sponsor, the legislation was as good as passed.

But something has changed. In Kansas, a bill designed to sharply curtail Google Fiber got absolutely destroyed by citizen protest. Here in Utah, HB60 is being pummeled in the local and national press. Any time one of these bills comes up, the anger quickly follows, the incumbents are unmasked as the culprits, and now the bill sponsors are forced to water down the bill significantly or outright withdraw it. What happened?

Cable and phone companies have been at the rear of the pack for customer satisfaction for well over a decade. Any time we try to improve things, they shoot us down to maintain their bottom line. I think we’ve finally reached the point where so many of us are enraged at both the crappy state of Internet service and blatant protectionism in government that we’re willing to try anything to improve it. If it looks like you’re getting in our way to make a buck, you’ll kindle our wrath.

Look at what’s happened with HB60. Over a dozen national news outlets have picked up the story. Hundreds of Utahns have been contacting legislators to voice opposition. There’s no evidence of any public support for the bill at all. The bill was pulled from a committee hearing and it’s possible it may not come back this year. Swift, fierce anger ruled the day on what appears to be blatant protectionism for a power incumbent phone company.

Has the tide finally turned? I think so. And we’ll all be better for it.

More than a coincidence? HB60 would kill access to UTOPIA as CenturyLink preps business gigabit

We’d like to think that incumbents are a well-oiled lobbying machine, but they often do things so ham-fisted and amateurish that you’re left wondering if Gomer Pyle is in charge. This week is proving no different. After getting a legislator who took their money to propose cutting off UTOPIA at the kneecaps, CenturyLink announced that they would be offering gigabit service to office parks along the Wasatch Front. You know, the same ones that HB60 really wants to keep UTOPIA from providing service to.

So let’s recap our timeline here:

  • CenturyLink sends campaign cash to a legislator.
  • Said legislator runs a bill to kick UTOPIA out of business parks that paid to have the service built to them.
  • CenturyLink comes in behind that and sells their own service, most likely at a much higher cost. This includes state agencies such as UDOT, UEN, and UTA.

Could it be any more obvious as to what’s going on around here? CenturyLink has convinced a legislator, Rep Curt Webb, to run a bill to kick their competition out so that they can take those customers. I’m furious about that arrangement. You should be too. It’s time to yell about this one from the rooftops.

Bill Alert: HB60 would ban UTOPIA construction outside member cities

In a completely ill-considered move, Rep Curt Webb is running a bill, HB60, which would restrict any municipal fiber network (but, curiously, not cable, DSL, wireless, or any other technology) from building anything outside the boundaries of member cities. This is aimed squarely at UTOPIA only, and it is meant to be a purely punitive measure.

So what prompted this? Probably the developers and companies who paid out of their own pockets to expand the network. Hamlett Homes extended it into South Salt Lake communities, and a number of businesses near the backbone but outside of member cities have done the same. These extensions help lessen the burden on taxpayers as a whole by shifting more of the costs onto subscribers, but it doesn’t cost any city a red cent.

As the bill is currently written, UTOPIA wouldn’t just be prevented from building to people willing to pay for it. They could also be required to shut down any existing services and be prohibited from maintaining their backbone that links cities together. It would effectively be a death sentence on any network that isn’t entirely within member cities AND can connect to an exchange point to reach ISPs and the rest of the Internet.

Naturally, I had to follow the money and it explains a lot. Rep. Webb has taken contributions from CenturyLink and the Utah Rural Telecom Association. What’s he got planned next? Duplicating the anti-Google Fiber bill from Kansas?