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04/17/2009 - Broadband CommitteeW. 5 paragraphs assignment Minnesota Ultra High Speed Broadband Task Force Tom Garrison, Metro Cities Representative April 17, 2009 Speed & Connections of Critical Infrastructure 1. If Minnesota is serious about achieving ultra high speed broadband, we must acknowledge that fiber optic delivery is the only known system today capable of two-way symmetrical transmission. While remaining open to other technical advances that can achieve higher speeds or capacity, our goal by 2015 should be full fiber deployment to every home and business in the state. Noting that Minnesota is rated today as 23`d in average Internet speeds, 25th in Unique IP addresses per capita, and 26th in High Broadband IP's per capita, our goal must be to dramatically improve connections, speeds and affordability of services. To become and remain globally competitive in the emerging knowledge-based economy, and to position our state as a center of innovation and employment, Minnesota's should adopt a goal of always being in the top three states nationwide and among the top five locations in the world in average available Internet speeds. These speeds and connections are both in the national and state interest, and all means necessary must be pursued to achieve them. Broadband must also, therefore, be defined in law as critical infrastructure. Role of Government 2. Just as it does with all other forms of critical infrastructure (roads, bridges, airports, building codes, electrical supply, telephone service, etc.), state government has a vital role to play in terms of setting policy and regulations that are in the public interest and protect public safety. Regarding improving the speeds, availability, and affordability of broadband services, public entities should be treated no differently than private entities in their ability to provide broadband services if that is the wish of their citizens. Most municipalities may have no interest in the direct provision of service unless the market is unwilling or unable to provide the services communities feel they need to survive and thrive in the global marketplace. The state should recognize that no one size fits all and no singular tactic can achieve the state's broadband goals, without all interested stakeholders—existing providers, new entrants, and communities of interest—being able to pursue their economic future and broadband goals. Municipalities— those closest to their citizens—have an important role to play in convening community broadband conversations and planning with their local business community. Further, municipalities have an important role to play in potentially spreading out the cost and speeding up the timetable of broadband improvements by virtue of their bonding authority which can .facilitate 20-30 year return on investments, rather than having to meet strict 1-3 year ROI. Policymakers should consider utilizing this powerful tool by explicitly permitting public/private partnerships that further ultra high-speed broadband goals. Just as cities have an interest in the so-called "last mile" closest to them, the state has an indispensable interest in the necessary "middle mile" connections to its citizens and localities that ensure both security and redundancy in those essential connections, sustain business commerce and jobs, provide e -government functions, and protect vital networks and data from outside vulnerability and attack. Incentives 3. Where state or federal funding decisions are concerned, funding should be tiered so that public investments give greater support to those projects which stimulate rapid deployment of ultra high speed broadband and high capacity (next generation) networks. Lesser tier support should go to lower bandwidth connectivity. (In other words, networks with delivered speeds to the premise of > 100 Megabits/second, for example, deserve greater support than devoting limited public resources to those with < 10 Megabits/second.) As has been noted by other experts, incentives should not cover the full costs of broadband deployment, but should require significant equity contributions by network owners to encourage responsibility and shared risk in outcomes. Only in extraordinary circumstances, or for the greatest of public benefits, should cost participation be waived. In addition, much in the way highway, railroad or airport infrastructure systems are publicly funded so all stakeholders can benefit from their use, public broadband investments should be geared to open networks over which many competitive providers can ride, rather than closed-end networks serving a single provider. Government and industry should consider funding for programs which increase broadband adoption rates in Minnesota. The legislature should engage in a formal tax policy review to see what appropriate tax breaks or other incentives can be provided to businesses willing to make investments to meet state broadband speed, affordability, connectivity and broadband adoption goals, or who partner with public entities to achieve these goals. Affordability 4. This task force finds that United States citizens pay, on average, more per megabit of service than citizens in most other industrialized nations of the world. The U.S. currently ranks no higher than 15th on most international measures of price per megabit of service. It is recommended Minnesota establish a data -driven Affordability Index and annually publish the results of which providers have the most affordable broadband services. Further the state should consider broadband access vouchers to defray the cost of broadband services for those who cannot afford it. These vouchers could be paid for either by legislative appropriation or based on a nominal per -subscriber fee assessed to all providers in the state. State Broadband Advisory Council 5. The differences between states that move ahead on broadband goals and those which complete reports that only gather dust is a suitable mechanism to implement strategic plans and a demonstrated continuing commitment to such plans. It is essential to MN's economic future to have an ongoing state body dedicated to implementing its strategic plans for broadband. Minnesota should without delay enact a Minnesota Broadband Advisory Council with membership similar to the Minnesota Ultra High Speed Broadband Task Force, with terms and responsibilities set forth in statute and appropriate funding. At least other states have broadband plans and advisory panels in place today. It is recommended that membership be broadened to correct for two notable omissions in the current task force make-up: large employer high tech businesses, and home-based or small company high-end users of broadband services. Lastly, as technology changes over time or the challenges facing strategic implementation of its broadband plan evolves, the Broadband Advisory Council should, at its discretion, have the ability to fill at least one slot on its panel with a subject matter expert capable of supporting its specific scope of work in any program year. The Broadband Advisory Council duties should include, but not be limited to: • A required biannual report to the Governor and Legislature on progress towards reaching state broadband goals and, as needed, additional broadband policy recommendations • Authority to make recommendations on emerging broadband opportunities and such other delegated duties as evaluating and granting funding as deemed appropriate by policymakers (evaluating stimulus funding proposals, etc.) • Coordinate cooperative efforts and state broadband planning to lower costs and increase efficiencies in pursuit of the state's broadband goals • Recommend to responsible authorities improvements to state building and electrical codes in furtherance of ultra high speed broadband deployment and high capacity use. • Study and create statutory authority for Planning Commissions to require the installation of broadband conduit as a condition of development and suggested Comp Plan language in furtherance of broadband. • Responsibility for creating recommendations to the Governor and Legislature on code requirements describing when it is appropriate for Planning Commissions to require the installation of broadband conduit as a condition of approval and Local Comprehensive Guide Plan amendment language in furtherance of broadband deployment • Assess network vulnerability threats and the need for critical path redundancy. • Assess Minnesota's progress toward meetings its ultra high speed broadband goals • Coordinate education efforts to raise the level of broadband usage. • Create policies that will further broadband deployment including when the trench is open • Oversee of state broadband mapping efforts