WASHINGTON, September 30, 2010 – The House on Wednesday approved H.R. 6160, the Rare Earths and Critical Materials Revitalization Act, by a vote of 325 to 98. The bill authorizes research to address the supply scarcity of rare earth minerals, a category of materials key to a wide range of applications in fields such as energy, military, electronic and manufacturing technologies.
Rare earths are necessary components of advanced technologies as wind turbines, hybrid-vehicle batteries, weapons guidance systems, oil refining catalysts, computer disk drives, televisions and monitors, compact fluorescent light bulbs, fiber-optic cable and other electronic goods.
“We must take steps to recapture our technological lead in a wide range of industries critical to our economic health, our national defense, and a clean and secure energy future,” said Committee on Science and Technology Chairman Bart Gordon, D-Tenn.
Bill author Rep. Kathy Dahlkemper, D-Pa., said: “We need to act now to begin the process of creating our own supply of rare earth materials so the United States is never dependent on China—or on any other country—for crucial components for our national security, adding that “We want to ultimately create a domestic supply chain of rare earths to promote U.S. global competitiveness and ensure technologies for our national defense and other industries are made in America.”
Partnerships And Trust Go Long Way To Securing Financing For Broadband Projects, Panelists Say
Broadband Breakfast panelists wrestle with the challenge of financing broadband infrastructure projects.
April 16, 2021 – Financing broadband projects requires real human relationships among everyone involved, said Broadband Breakfast experts Wednesday.
The weekly panel addressed the challenge of financing broadband infrastructure. Billions of federal dollars are making their way to expand internet access across the country, including the $9.3 billion Rural Digital Opportunity Fund, the $3.2 billion Emergency Broadband Benefit program and the $7 billion Emergency Connectivity Fund. There is significant funding to be spent, but it’s not always as simple as receiving a check in the mail from the government.
Getting the necessary funds to build broadband networks — whether they are private service providers like Comcast, electric co-ops or municipal-owned networks — often requires financing with banking institutions or other means of funding.
“You really want to strike a deal with someone that you can trust, who you think has your community’s interests in mind,” said Christopher Mitchell, director of the Institute for Local Self Reliance’s Community Broadband Network Initiative. “Human relationships are important, and often are a precursor to striking any of these sorts of deals.”
He mentioned unique ways that companies and communities can collaborate to build broadband networks.
For example, he referenced some long-term agreements in Minnesota between localities and CTC – Consolidated Telephone Company. The localities would pay for and own fiber-to-the-home networks that are operated by the CTC. “That can really help for operators that have the capacity to do more work, but may be at their lending or borrowing limits,” Mitchell said.
Internet Service Providers “can work with a community that would take on the debt in order to build the network and then offer, whether that’s exclusive, whether that’s permanently exclusive, or timed-exclusive, that’s one way,” Mitchell said.
Partnering with anchor institutions
Another method is for providers to partner with communities or schools to build networks that are owned by the company but paid for by the community or school with state or federal funding, such as the company Clearnetworx in Colorado.
“ISPs sometimes have to build those relationships and have creative ideas to make these things happen,” Mitchell said.
“When I think about the creation of MBC back in 2004, I think it was really all about leadership and relationship and good timing,” echoed Lauren Mathena, director of economic development and community engagement at Mid-Atlantic Broadband (MBC). On grant processes and getting the necessary financing, she said “the biggest thing is building those relationships and keeping that determination, and if you haven’t started, start today, because it is a process.”
Many smaller banks often lend out for broadband projects, sometimes even banding together if they hit their limits, because they see it as a wholistic community development, explained Tim Herwig, district community affairs officer at the Office of the Comptroller of the Currency.
“A lot of these banks are locally-owned, the bank president, the members of the board, sit in the pew at church next to customers,” Herwig said. “Their kids go to the same schools together, they eat in the same restaurants, they go jogging down the same streets, right? They have a deep sense of corporate community responsibility. They see broadband as a gateway to the financial security and future of the communities where they serve,” he said.
High cost challenges
“The big challenge in a lot of these markets for rural operators is the economics of providing service in high-cost areas just don’t pencil out,” said Jeff Johnston, lead communications economist at CoBank, a private bank that focuses on services in agriculture and infrastructure for rural areas.
In addition to getting the upfront funding to building the infrastructure, there is also the operating costs to consider, and for some areas that’s not feasible without extra support, he said. “It’s one thing to get support up front to build a network in a high-cost area, but there’s on going expenses to managing the network,” he said.
Johnston also mentioned financial issues that may occur in federal reverse auction programs such as RDOF. “They’re great programs, first of all, but I also think operators going into these reverse auctions don’t overextend themselves,” he said. “Be realistic in what you think you can do operationally and financially.”
For MBC, which operates in Virginia, they pair funding with state and federal programs, such as the 1998 national tobacco settlement through the Virginia Tobacco Region Revitalization Commission, Mathena said. “We’ve been able to pair state and federal grant applications together, so that we’re using state dollars to help build that match, so that’s not just coming from MBC’s revenue,” she said.
Our Broadband Breakfast Live Online events take place every Wednesday at 12 Noon ET. You can watch the April 14, 2021, event on this page. You can also PARTICIPATE in the current Broadband Breakfast Live Online event. REGISTER HERE.
Wednesday, April 14, 2021, 12 Noon ET — “Less Than a Billion: Financing Broadband Infrastructure”
- Congress has appropriated $3.2 billion for the Emergency Broadband Benefit and $7.2 billion for the Emergency Connectivity Fund, and more is being discussed. But internet projects still face financial constraints and regulatory hurdles in navigating the maze to obtain broadband infrastructure financing. This panel will consider funding and cost issues from the perspective of a broadband builder. How can broadband entities most effectively deploy private and public financing to meet increasing high-speed connectivity needs?
- Jeff Johnston, Lead Communications Economist at CoBank
- Tim Herwig, District Community Affairs Officer at the Office of the Comptroller of the Currency (OCC)
- Christopher Mitchell, Director of the Institute for Local Self Reliance’s Community Broadband Network Initiative
- Lauren Mathena, Director of Economic Development and Community Engagement at Mid-Atlantic Broadband (MBC)
- Drew Clark (moderator), Editor and Publisher, Broadband Breakfast
Jeff Johnston is a lead communications economist in CoBank’s Knowledge Exchange research division, where he focuses on the communications industry. His work revolves around identifying emerging technologies, business models, risks and opportunities within the industry, and providing strategic analyses to both internal and external stakeholders. Prior to joining CoBank in 2018, Mr. Johnston was an equity analyst covering the tech, media and telecom sectors. Jeff has also held various senior management positions in the telecommunications industry. He earned his Bachelor of Science degree from York University and he is also CFA charterholder.
Timothy Herwig is a District Community Affairs Officer with the Office of the Comptroller of the Currency (OCC). He is officed in Chicago. Among other responsibilities, Herwig advocates for community reinvestment by providing technical assistance to banks interested in financing rural broadband infrastructure and rural ISPs looking for private sources of debt or equity financing. The OCC is an independent bureau of the U.S. Department of the Treasury. The OCC charters, regulates, and supervises all national banks, federal savings associations, and federal branches and agencies of foreign banks.
Christopher Mitchell currently serves as the director of the Institute for Local Self Reliance’s Community Broadband Network Initiative. His work focuses on helping communities ensure that the telecommunications networks upon which they depend are accountable to the community. He was honored as one of the 2012 Top 25 in Public Sector Technology by Government Technology, which honors the top “Doers, Drivers, and Dreamers” in the nation each year.
Lauren Mathena is the Director of Economic Development and Community Engagement at Mid-Atlantic Broadband (MBC). In her role, Mathena serves as a regional ecosystem builder and represents MBC to a variety of local and state partners, including Southern Virginia’s economic developers who rely on MBC’s network for business attraction, retention and expansion. She is currently leading program development for the SOVA Innovation Hub, a 501(c)3 non-profit created in early 2020 with investments by MBC and Microsoft TechSpark.
As with all Broadband Breakfast Live Online events, the FREE webcasts will take place at 12 Noon ET on Wednesday.
Openreach Partners With STL For Fiber Build
Openreach aims to get 20 million fiber-to-the-premise connections by later this decade.
April 14, 2021 – STL, or Sterlite Technologies Limited, announced Wednesday a partnership with Openreach, the United Kingdom’s largest digital network business to expand its “Full Fiber” broadband network across the UK.
STL, a global network designer from India, will provide millions of kilometers of fiber to develop Openreach’s goal of 20 million fiber-to-the-premise connections by late 2020s.
“This collaboration with Openreach strengthens a 14-year-old technology and supply relationship between the two companies and further reinforces STL’s commitment to the UK market,” the company said in a statement.
Openreach will use STL’s Opticonn solution, a fiber and cable build that the company claims offers better performance and faster installation, according to the release statement. The company will also utilize STL’s new celesta ribbon cable that boasts a capacity of up to 6,912 fibers, the statement added.
“Our Full Fiber network build is going faster than ever. We need partners like STL on board to not only help sustain that momentum, but also to provide the skills and innovation to help us go even further,” Openreach’s Kevin Murphy said in a statement. “We know the network we’re building can deliver a host of social and economic benefits – from boosting UK productivity to enabling more home working and fewer commuting trips – but we’re also trying to make this one of the greenest network builds in the world.”
Ankit Agarwal, CEO of connectivity solutions business at STL, said, “our customized, 5G-ready optical solutions are ideally suited for Openreach’s future-proof network requirements and we believe they will enable next-gen digital experiences for homes and businesses across UK. This partnership will be a major step towards our mission of transforming billions of lives through digital networks,” he said in a statement.
Openreach’s network now reaches 4.5 million premises, offering gigabit-capable connection through a range of competing providers on the network, and the company is building at a rate of about 42 thousand new homes and businesses a week, according to the release.
The UK parliament has set a goal to get 85 percent of UK homes and businesses access to gigabit-speed broadband by 2025. They reported that as of September 2020, 27 percent of UK premises received that connection speed, and 95 percent have access to “superfast broadband” which the government defines as at least 30 megabits per second download speed.
Parliament acknowledged that although “superfast broadband is sufficient for most household needs today, the demand for data-intensive services such as online video streaming is increasing and can push the limits of a superfast broadband connection. The coronavirus pandemic has further highlighted the need for widely available and reliable digital connectivity.”
STL is a sponsor of Broadband Breakfast.
John Curtis, R-Utah, Opens Up About Future of Fiber and Broadband Challenges
Utah Republican Rep. John Curtis speaks about broadband rollout, education and bills more than a year into the pandemic.
April 13, 2021 – Provo, Utah has made significant progress with its Google Fiber partnership, and representative John Curtis, R-Utah, hopes the federal government is paying attention.
Broadband Breakfast spoke with Curtis on Monday to discuss broadband and the lessons he’s taken from the pandemic. He said that the city of Provo is on track with its broadband efforts and that its programs are working. Having formerly served as city mayor for Provo from 2010 to 2017, Curtis oversaw the purchase by Google Fiber of iProvo, the city’s existing fiber internet network.
Announced in a press release on February 16, two of Curtis’ bills, the Federal Broadband Deployment in Unserved Areas Act, and the Rural Broadband Permitting Efficiency Act of 2021, were introduced to facilitate broadband deployment on federal lands and close the digital divide in both rural and urban areas. The bills called to “streamline permitting presses,” as duplicative regulations and inefficient practices have been hampering broadband development thus far, he said.
Federal, municipal regulations a constraint on deployment
Curtis was asked where he thought unnecessary red tape needed to be removed to fulfill rural and urban broadband objectives. He said 90 percent of the rural land in his district is owned by the federal government, making regulation heavy and complicated. In some instances, public lands have taken up to nine years to allow permitting for broadband, and in broadband terms, that’s a lifetime. “We don’t have nine years to get down into these parts of the district,” he said.
To visualize this, if there is an existing asphalt road, broadband cannot run alongside it because it is treated as if there was trench dug underneath Delicate Arch, a historical rock formation, a regulated territory. If rural roads are approved to be built, rural broadband should be approved in a similar and appropriate manner, Curtis said. He added companies like Google, who have vast resources, are still slowed down by the government.
And it’s not the federal government that is always behind roadblocks, but the municipal government can sometimes get in the way. A struggle over telecoms putting up equipment on municipal-owned poles, which are required for broadband and wireless deployment, has been playing out across the country.
Education needs support structure at home
As the country is more than one year into the pandemic, the importance of having adequate and affordable broadband in Utah households is critical, especially for education, Curtis said. Curtis said that the more disadvantaged a household is, the less likely it is to have good internet connectivity. While there are tremendous uses for virtual resources, Utah children need a support structure at home, and not every home has that.
Having poor support at home to stay connected for school, work, and health needs is virtually as bad as not even having a device to connect to the internet in the first place. A benefit of having Google Fiber in Provo, Curtis said, is that households see their internet costs come down and speeds go up as competition is benefitting consumers. Cities are averse to risk, and sometimes lack the capital to invest in broadband, but technology changes so fast that it requires constant upkeep, he said.
Not just about the money
Asked about his thoughts on recent federal legislation, including the $3.2-billion Emergency Broadband Benefit program and the Biden’s $100-billion infrastructure plan (Jobs Act) for broadband, Curtis said it is important to invest in these initiatives, but simply throwing money at the problem won’t solve anything.
He said he wished he could bring Biden to Provo to take a look at Provo’s broadband progress, adding that “creativity and hard work make up for a multitude of sins.”
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