Study Shows Need for Long-Distance Phone Charge Reform, According to Connected Nation, Kentucky Chamber, and Kentucky Association of Economic Development

UK Center for Business and Economic Research Study Shows Reform Would Benefit Consumers, Businesses

BOWLING GREEN, KY - Connected Nation, along with the Kentucky Chamber of Commerce and Kentucky Association of Economic Development, hailed the recent release of a research study by the University of Kentucky Center for Business and Economic Research that underscores the need for the reform of telephone long-distance access charges in the Commonwealth of Kentucky to benefit consumers.

The study follows a meeting of the Federal Communications Commission (FCC) on October 27, 2011, where the FCC voted to reform one element of telephone long-distance access charges as part of a larger reform of the federal Universal Service Fund. The FCC intends to transition the USF from a voice telephone subsidy program to support broadband deployment in the U.S.

Connected Nation, the Kentucky Chamber of Commerce, the Kentucky Association of Economic Development, the Communications Workers of America, the Louisville Urban League, and seventeen local Chambers of Commerce last year sent a letter to the Kentucky Public Service Commission (PSC), urging it to reform long-distance access charges to encourage investment and deployment of next-generation communications networks. Last year, the PSC initiated a review of access charges, but that review is still ongoing and no reforms have yet been implemented. Reform of telephone long-distance access charges was also included by the FCC in the National Broadband Plan.

“CBER’s research supports our belief that Kentucky should join its neighbors in reforming long-distance telephone access charges in order to help consumers, spur investment, and drive broadband availability,” said Brian Mefford, CEO of Connected Nation, Inc. “The FCC Chairman recently stated that the current system is unfair to consumers and results in higher phone bills and the FCC is doing what it can to reform this system but there are still important things left up to Kentucky and its regulators to tackle. Connected Nation advocated last year, as part of a coalition of Kentucky-based organizations, for the PSC to enact access charge reform and UK’s white paper provides ample, data-driven support for the PSC to do just that.”

In a recent speech outlining the order, FCC Chairman Julius Genachowski stated that the, “current ICC system is unfair to consumers,” and inter-carrier compensation would “reduce the hidden subsidies paid by consumers across the country.”

The University of Kentucky’s major findings include:
• “Higher access charges lead to higher prices to consumers for intrastate long-distance services, as well as higher prices for goods whose production processes require intrastate long-distance communication.
• Inefficiently high access charges reduce competition in the intrastate long-distance market, and they lead to suboptimal investment in the present and the future.
• Each of the states bordering Kentucky has addressed intrastate access rate reform. Illinois, Indiana, Missouri, Ohio, Tennessee, Virginia, and West Virginia have individually implemented policy to decrease intrastate access charges. Several states have gone as far as requiring providers’ intrastate access rates to mirror their interstate access rates, which are governed by the FCC, while others have been less aggressive but still requiring providers to lower their rates. Kentucky has not revisited access reform since 1999 and is the only state in the region which has failed to address intrastate access reform.
• There are economically sound reasons why two products with similar functionality and similar costs—intrastate and interstate long-distance connection services to local exchanges—should have similar prices.
• A final economic inefficiency of the current access charge system is that it creates arbitrage opportunities by charging different prices for essentially the same product, resulting in wasteful spending that could be avoided.”

"The Kentucky Chamber participated in this study to look at the economic effects that access charges have on our telecommunications infrastructure and the associated costs to businesses and individuals," said Dave Adkisson, president and CEO. "We now have data that demonstrates the impact and points to the need to reform as our neighboring states have done."

“The link between broadband and jobs is undeniable, and economic growth in today’s economy has to include utilization of information technology. UK’s research shows us the many ways that our current system actually provides a dis-incentive for our telephone companies to invest in newer and more efficient systems; it also inhibits growth, increases the costs of doing business, and the Kentucky Association of Economic Development believes the Public Service Commission should act quickly to reform Kentucky’s outdated long-distance telephone access charge system,” said Mike Mangeot, executive director of the Kentucky Association of Economic Development.

The organizations praising this economic research study are long-time advocates of legislative and regulatory actions at all levels of government that will encourage investment, jobs, consumer benefits, and increased access to technology for all residents of the Commonwealth of Kentucky.

The Center for Business and Economic Research’s study was commissioned in order to determine if research data supported the assertion that an economic rationale exists for reform of the telephone long-distance access charge system in Kentucky.

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Barry County Chooses to be a ‘Connected’ Community

County Joins New Technology Certification Program

Barry County, MI - Barry County leaders have enrolled their community in a creative new program that seeks to stimulate demand in the local economy and enhance the quality of life for residents through increased access, adoption, and use of broadband.

Staff from Connect Michigan, the statewide nonprofit promoting broadband expansion, introduced Barry County leaders to the Connected Community Certification Program, an initiative that offers a comprehensive and localized way for communities to bridge the digital divide impacting many communities.

There are many communities in Barry County that do not have access to high-speed Internet service and in the areas where broadband is available cost is often an issue.

“Barry is a rural county with fantastic natural resources; however those same assets can pose a geographic hindrance to broadband accessibility,” said Valerie Byrnes, president of the Barry County Chamber of Commerce and Economic Development Alliance. “Increasing accessibility to residents and businesses will enhance our quality of life through expanded educational options online, ability to do business from home, and accessible social media options that most individuals rely on.”

Within the last year, a grassroots committee from Irving Township began the process to assess the broadband access within the township. That effort spurred the same data collection in multiple other townships. Once the data was collected, the Barry County Economic Development Alliance (BCEDA) agreed to spearhead a committee to address accessibility needs countywide. The committee is facilitated by the BCEDA and includes representation from multiple partners within the community such as the Barry Community Foundation, local libraries, county commissioners, Pennock Health Services, public schools, and an Internet provider among others and is open to additional participation.

“Broadband is one of the infrastructures of the future,” said Governor Rick Snyder in his Special Message to the Legislature on Infrastructure, presented in October. In the Governor’s White Paper of the presentation, he cited data from the Connect Michigan Residential Technology Survey to point out that the, “use of high-speed broadband is also a game-changer for our citizens.”

“The results of the residential broadband survey allows Michigan stakeholders to have more detailed information available for broadband planning strategies as we move forward,” said Robin Ancona, director of the Telecommunications Division, Michigan Public Service Commission.

Broadband is a critical resource for economic inclusion. In 2010, Connect Michigan conducted a random survey of over 800 businesses statewide. Survey findings estimated that 71,000 (30% of) Michigan businesses do not use broadband. Additionally, the findings also indicated that broadband-connected businesses in Michigan averaged $200,000 more in median annual revenues than their unconnected counterparts.

The Connected Community Certification Program entails building a comprehensive action plan for developing a technology-ready community by reviewing the technology landscape, developing regional partnerships, establishing local teams, and conducting thorough community assessments.

Additionally, Barry County will benefit from participation in the Connect Michigan Community Engagement Program, which guides communities through an assessment of their overall broadband and technology progression, using criteria that parent organization Connected Nation has developed as a part of the “community certification” model. The program helps train regional team leaders and supports the formation of community planning teams made up of various sector representatives.

“The Barry County Economic Development Alliance is working with a multitude of partners countywide to facilitate the process of bringing high-speed Internet access to all parts of our communities,” said Byrnes.  “Our partnership with Connect Michigan is an opportunity to leverage a model that is focused on exactly that — bringing high-speed Internet access to a rural community. We are looking to Connect Michigan to help us speed our process to full implementation through a focused approach based on the successes of other communities.”

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Connect Minnesota Releases Broadband Service and Pricing Report

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Report examines the impact of cost on broadband adoption

ST. PAUL, MN – Connect Minnesota released today a new report on broadband service and prices in Minnesota.

The report, Worth the Cost: Broadband Prices in Minnesota, was part of discussions during the 2011 Broadband Conference hosted jointly by the Blandin Foundation and Connect Minnesota in Duluth. This year’s conference, focused on the ARRA broadband funding efforts that have been underway in Minnesota. Through discussions with national and local policy leaders, community leaders had the opportunity to develop a better understanding of how policy impacts them and how they link to the big picture. Through the sharing of tools and accomplishment of ARRA projects, attendees celebrated progress and planned for the future.

“Providers, governments and other stakeholders including Connect Minnesota are working to improve adoption rates statewide,” said William Hoffman, Connect Minnesota Program Manager.  “Our 2011 Residential Survey data will help inform efforts to ensure more Minnesotans adopt broadband and benefit from technology both economically and socially.”

The cost of home broadband service is a growing factor in encouraging more Minnesotans to get connected. Just a few years ago, most people did not even know what broadband was, let alone how it could benefit their lives. Now, though, a growing number of Minnesotans realize what a home broadband connection can mean for them, but many cite cost as a reason for not subscribing to the service.

Recent efforts by providers as well as governmental and non-profit agencies are attempting to address the cost issue. For example, the Federal Communications Commission’s Connect to Compete initiative recently brought together government officials, for-profit companies, and non-profit organizations to provide affordable broadband service to targeted populations and help them learn how to use a host of online tools.

As part of the 2011 Residential Technology Assessment, Connect Minnesota examined the prices that Minnesotans pay for their broadband service, how changes in price affected their decisions to subscribe, and how cost impacts some consumers’ decision to adopt broadband.

Among the findings from this survey:
·      On average, Minnesota broadband subscribers spend 49.46 a month on home broadband service. About 810,000 Minnesota adults (28% of broadband subscribers) report spending $50 or more on their broadband subscription.
·      When asked to rate their satisfaction with the price, 15% of broadband-connected Minnesotans (representing about 432,000 adults) gave a rating of “5 out of 5.”
·      More than one out of five subscribers (21%, representing 607,000 adult residents) say that price was a factor in their decision to subscribe, either because the price went down, or they realized that the cost was worth the extra price per month.
·      Approximately 1.1 million adult Minnesotans do not subscribe to broadband service. Cost is the main barrier to adoption for 26% of them (approximately 297,000). This includes those who say that the monthly cost of broadband service is too high (17.5%), the cost of a computer is too expensive (5.5%), and the activation and installation fees are too expensive (3.3%).
·      The cost of home broadband service is cited as a barrier by many at-risk groups, including low-income households and minorities; across Minnesota, approximately 37,000 minority households do not subscribe to broadband primarily due to the cost barrier.

On average, Minnesota broadband subscribers who know their monthly price say they pay $49.46 per month for their home broadband service.  By comparison, home broadband subscribers across all of the states surveyed by Connected Nation pay $45.73.

Average Price Paid by Home Broadband Subscribers

It should be noted that Minnesota broadband subscribers who know their advertised download speed subscribe to service that is significantly faster than other states surveyed by Connected Nation; Minnesota broadband subscribers who know their advertised download speed report an average speed of 6.0 Mbps downstream, compared to the Connected Nation average of 4.8 Mbps. As such, one would expect a higher average price in Minnesota.

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Connected Texas Releases 2011 Residential Broadband Adoption Survey Results

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38% of Texas residents still do not subscribe to broadband at home

Austin, TX – Today, Connected Texas released new residential broadband adoption survey results revealing the top trends in technology use among key demographics in Texas. The preliminary indicators from the survey are available online, which gives a comprehensive view of the challenges and opportunities for expanding broadband in targeted sectors. Most notably, the majority of low-income, rural, senior, disabled adult, and Hispanic households are without broadband at home, leaving them facing an uphill battle in keeping up with essential online resources, job and educational opportunities, and social services.

“This new research offers us critical insight into how we need to plan local and regional broadband expansion,” said Connected Texas Executive Director Don Shirley. “The goal of our initiative is quality broadband access, adoption, and use across the state. We will use these new findings to create customized plans that directly target the Texas communities and residents who face the biggest challenges to realizing the life-changing benefits that broadband can bring.”

This survey is conducted in support of Connected Texas’ efforts to close the state’s digital gap. The survey explores the main barriers to adoption – cost, digital skills, and relevance – and also provides unique insights into the national broadband landscape.

This survey reveals that:

• 1.2 million people living in rural areas do not subscribe to broadband service at home.
• When comparing to the 62% of all households that do subscribe, there remain large gaps among key demographics:
• 61% of low-income households;
• 59% of Hispanic households; and
• 57% of seniors are without broadband.
• Approximately 865,000 children in low-income households are without access to this essential tool at home.
• 1.4 million Texas adults say a lack of digital skills and knowledge of how to use a computer and broadband is the main reason they don’t have broadband at home.
• The biggest gap is among low-income rural Texans. Only 28% of low-income rural Texans subscribe to broadband and only 47% have a computer at home.

These results and comparisons to many others are available on Connected Texas’ new consumer trends widget. This interactive tool gives people the ability to view, share, and download the results. Connected Texas will use these survey results to target solutions in communities based on the demographic and economic barriers that the surveys indicate are most relevant to those communities.

This release comes on the heels of the FCC’s newly released plans to launch a comprehensive public-private initiative called Connect to Compete, aimed at extending digital literacy training and providing employment assistance to communities. Connected Texas’ parent organization, Connected Nation, is one of the top strategic advisors in the national initiative.

Connected Texas’ 2011 residential survey was conducted in the summer of 2011 and includes responses from 3,597 residents. The survey was conducted as part of the State Broadband Initiative (SBI) grant program, funded by the U.S. Department of Commerce, National Telecommunications and Information Administration, and funded by the American Recovery and Reinvestment of 2009.

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Connected Nation, iHigh.com Announce Partnership

National nonprofit working for broadband expansion joins forces with nation’s top website featuring youth sports

Lexington, KY - Youth sports are often the common bond that unites communities and families. Bowling Green-based Connected Nation is proud to announce a partnership with Lexington-based iHigh.com – a company that strengthens those bonds through the innovative use of broadband.

"We are very excited to partner with Connected Nation and its mission of changing communities through the use of broadband,” said Jim Host, chairman and CEO of iHigh.com. “By combining Connected Nation’s leading grassroots approach to technology expansion and the iHigh platform, we can provide greater opportunities for schools to promote their student activities and grow communities online."

Scott Guttery, business & technology, leadership development teacher, and boys’ basketball and bowling coach of Fort Myers (Fla.) High School, is one of the first to praise this new partnership: “iHigh.com will totally change our program. Fans and relatives of players can watch the games all over the country. This will change the way our players are recruited. College coaches can watch our games live or in an archived broadcast. The company provides an amazing opportunity for high school programs to gain valuable exposure and recognition. Connected Nation has helped make the initial set-up process go smoothly. They will not stop working until everything is ready to go. The customer service is outstanding and the ihigh.com team works hard to make each broadcast successful. Best of all, it is a free service.”  

“Connected Nation is proud to partner with the nation’s leading website for youth activities. The missions of Connected Nation and iHigh.com present the opportunity for a natural partnership to get more citizens connected online,” said Connected Nation CEO Brian Mefford. “We work to improve lives through broadband. In this partnership we are excited to make a positive impact by helping grandparents watch their grandchildren play their first games, colleges recruit prospective athletes, and fans support their teams from anywhere in the world.”

Connected Nation is a leading national nonprofit that works to enable people through technology expansion. iHigh.com’s mission fits ideally with the efforts of Connected Nation by providing free, web streaming of sports and academic activities to local high schools. The two companies are uniting efforts to educate schools on the benefits of broadband technology and to provide free, live broadcasts of their team sports and activities online.

iHigh.com provides schools, colleges, and other youth-related organizations with free web tools and video streaming. Students, coaches, alumni, boosters, and other supporters can easily connect with other athletes and teams at a local, state, and national level. iHigh.com is the No. 1 website in the country with live streaming of youth activities with more than 6,600 active schools and 24,000 users from the US and around the world.

Fort Myers High School, one of the largest schools in Florida, is using iHigh.com to broadcast its 2011-2012 boys’ basketball season. Today for the first time, fans, family, and college recruiters can capture the Pre-Season Tip-off Classic vs. Coral Gables LIVE here: http://www.ihigh.com/fmhs/index.html. The game starts at 7:30 p.m. EST.

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Clare County First in State to Join Innovative Broadband Expansion Effort

Leaders enlist in Connect Michigan’s Connected program to bridge technology gap, boost economy, and quality of life

Clare County, MI - Clare County leaders Tuesday became the first in the state to enroll their community in an innovative program that seeks to boost the local economy and quality of life for residents though increased access, adoption, and use of broadband.

Staff from Connect Michigan, the statewide nonprofit promoting broadband expansion, led 16 Clare County leaders through the steps of the new “Connected” community certification program that offers a comprehensive and localized way for communities to bridge the digital divide impacting many communities.

While broadband access at basic speeds is 97 percent (excluding mobile access) across Michigan, that figure plunges to 75 percent for Clare County’s 31,000 residents.

Clare County’s rolling hillsides, heavy foliage, and low-density housing have hampered high-speed Internet development – a factor that research has shown to also be a barrier to economic development.

“We have observed since the beginning of our efforts that the most significant challenge facing the deployment of broadband technology in Clare County is what attracts many people in making their choice to live here - beautiful, rural communities with vast amounts of open and wooded space,” said Steven Kingsbury, former elected city commissioner, treasurer, finance director, and director of information technology for the City of Clare.

This digital gap led local officials to begin working on fixed wireless broadband expansion plans and eventually start working with Connect Michigan for assessments of local adoption and use - all with positive results.

“Partnering with the Connected Nation and Connect Michigan initiatives provides our local group access to additional resources to further our project,” Kingsbury said. Connected Nation is Connect Michigan’s parent organization.

The Clare County Broadband Network Group’s efforts have already successfully connected several governmental buildings during the last two years.

“We have also in this timeframe connected all four townships on the east side of the county through the deployment of 150-foot or taller wireless communication towers and at the present time we are continuing to work with several other townships to connect them through the wireless network,” Kingsbury said.

Another major step forward in closing the digital divide came when officials decided to enroll in the Connected community certification program.

“From the beginning of our project we recognized that broadband availability is important in promoting our area to potential home and/or cottage owners as well as commercial and industrial developments. We also fully appreciate how important deployed availability of this technology is in leveling the educational opportunities for the school aged children and young adults living throughout the county,” Kingsbury said.

“The Clare County Broadband Network Group has been following the progress of the Connect Michigan program since mid-summer and had requested that once Connect Michigan launches its Connected program that they be one of the first communities that I visit and present them an opportunity to become a certified Connected broadband community,” said Tom Stephenson, Connect Michigan regional planning consultant.

The initial meeting was held in Harrison and was attended by community leaders including county commissioners, several township supervisors, and municipal officials who decided to immediately move forward with the certification process.

“For me, the room was full of heroes, a proud group of hard working people that have fallen onto hard times, yet are determined to lift themselves and the citizens they serve out of dismal times and toward a better life,” Stephenson said.

The Connected certification program entails building a comprehensive action plan for developing a technology-ready community by reviewing the technology landscape, developing regional partnerships, establishing local teams, and conducting thorough community assessments.

“Our initial meetings with representatives from the Connected program have been very positive,” Kingsbury said. “We have accomplished a great number of our initial goals and are anxious to continue our momentum in connecting local governmental entities into our governmental network and also in expanding broadband access to the unserved and underserved residents of our county. We are also very interested in sharing with other communities how a grassroots, community focused and centered initiative can get broadband connectivity into rural Michigan.”

“I commend Clare County officials and Connect Michigan for working together to help bring broadband to more rural Michigan residents,” said Sen. Darwin Booher, R-Evart. “In an ever increasingly digital and online world, access to new technologies, like broadband, are vital to keeping Michigan workers competitive for jobs and preparing our students for success.”

“I am excited to see this initiative start right here in Clare,” District 97 Representative Joel Johnson said. “The need for broadband access in our rural areas is a challenge, and success here will lead to more deployment throughout Michigan.”

“The Clare group realizes that making broadband available to all its citizens was only part of the solution, and they still needed to deal with adoption and usage issues,” Stephenson said. “The Clare group was well organized and had a broadband plan for their county; they knew that Connect Michigan along with its regional partners could help provide the necessary resources to address those adoption and use issues and allow them to fulfill their dream. Their dream is to have affordable broadband available to all of its citizens and to have a sign on every road entering Clare County say, ‘Welcome to Clare County, a Certified Connected Community.’ If you listen to their story, hear their passion and see the determination on their faces, you know that dream will someday come true.”

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About Connect Michigan: As the designated entity for broadband mapping and planning in the state of Michigan, Connect Michigan is a public-private partnership between the Michigan Public Service Commission and Connected Nation to unite local governments, businesses, and citizens in the goal of increasing broadband service in the state’s underserved areas. For more information about what Connect Michigan is doing to accelerate technology in Michigan’s communities, visit www.connectmi.org.

About the Michigan Public Service Commission (MPSC): The MPSC is a state agency within the Department of Licensing and Regulatory Affairs. For more information about the MPSC visit www.michigan.gov/mpsc.

About Connected Nation: Connected Nation is a leading technology organization committed to bringing affordable high-speed Internet and broadband-enabled resources to all Americans. Connected Nation effectively raises the awareness of the value of broadband and related technologies by developing coalitions of influencers and enablers for improving technology access, adoption, and use. Connected Nation works with consumers, community leaders, states, technology providers and foundations, including the Bill & Melinda Gates Foundation, to develop and implement technology expansion programs with core competencies centered on a mission to improve digital inclusion for people and places previously underserved or overlooked. www.connectednation.org.

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Connect Nevada Releases e-Health Report

Report showcases importance of broadband in healthcare days before statewide broadband summit

Carson City, NV – Today, Connect Nevada is releasing a new e-Health report on broadband and how online connectivity impacts the cost and availability of quality healthcare services. The report, titled e-Health: Empowering Nevadans Across All Walks of Life, covers one of many economic development issues that will be discussed at the 2011 Broadband Summit taking place in Dayton on Monday.

The nonprofit’s new e-Health report for the state takes a detailed look at the growing importance e-Health is playing in both the public health and technology fields. It reveals that half of all Nevada’s Internet users go online for medical information and help with their health issues.

“As healthcare costs keep rising, more Nevadans are turning to broadband to learn about healthcare and communicate with medical specialists from around the world. It’s those opportunities that are making e-Health such a valuable asset,” says Connect Nevada State Program Manager Lindsey Niedzielski. “There are so many benefits to e-Health. It can improve the quality of healthcare, streamline the process, provide faster answers, improve patient safety, and increase access.”

Connect Nevada examined the topic of e-Health in its latest Residential Technology Assessment. These results show that, while residents across a wide variety of demographic groups utilize e-Health, there are many underserved groups who may benefit from e-Health training and increased access to e-Health opportunities.

Among the findings from this survey:

• One in four Nevadans (25%) who access the Internet on their cell phones say they use their cell phone or mobile device for e-Health purposes.
• While many Nevadans utilize e-Health technology to improve their medical care and reduce costs, nearly 300,000 low-income Nevada adults do not tap into this resource.
• Hispanic and African American Nevadans are significantly less likely to use e-Health tools; altogether, approximately 125,000 African American and 170,000 Hispanic adults in Nevada still do not use the Internet for e-Health purposes.
• e-Health is a vital tool for Nevadans with disabilities, as approximately 129,000 use the Internet to access e-Health tools, and 38,000 use cell phones or mobile devices. Still, the use of e-Health applications among adults with disabilities is lower than in other surveyed states.

The e-Health report comes just days before Nevada’s groundbreaking Broadband Summit. The interactive meeting is taking place on Monday, November 14 in Dayton, Nevada. The historic event is bringing state, county, tribal, and local leaders together for the first time to discuss the agenda of broadband expansion and the critical role the technology will play in Nevada’s economic future. The summit is being co-hosted by nonprofit Connect Nevada and the governor’s Nevada Broadband Task Force. Anyone with interest in championing local broadband expansion in his or her community is encouraged to attend and contribute to the discussion through Twitter using hash tag #NVbroadband.

Connect Nevada will also be live streaming the event via the website. For further information, please contact Lindsey Niedzielski at (877) 846-7710 or lniedzielski@connectnv.org.

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Connect Puerto Rico Releases New Broadband Availability Maps and Data

Universal Service Fund Reform Expected to Have Significant Impact on Broadband Penetration

San Juan, PR – Yesterday, Puerto Rico Chief Information Officer Juan Eugenio Rodriguez de Hostos in a joint presentation with Sandra Torres, President of the Puerto Rico Telecommunications Board, released the latest Connect Puerto Rico broadband availability maps and data at the Puerto Rico Telecom Conference 2011.

Both also offered insights into the right kind of legislative environment for promoting the type of technology modernization necessary for Puerto Rico to realize a vibrant and robust digital future.

New data estimates indicate that 86% of households have broadband available at basic connection speeds (768 kbps download/200 kbps upload speeds). The estimate drops significantly when looking at higher connection speeds necessary to support Internet applications that consumers are increasingly demanding, such as video streaming. An estimated 41% of households across the island have broadband available at speeds of 6 Mbps/768 kbps or higher.

Connect Puerto Rico – October, 2011

These facts were highlighted by Governor Luis G. Fortuño in his October 17, 2011, letter to the Federal Communications Commission (FCC) in support of sound reform of the Universal Service Fund (USF), a program that distributes over $8 billion annually across the USA and territories, and approximately $270 million across Puerto Rico.

On October 27, the FCC voted to reform and modernize the USF program. This reform will transition the USF program currently subsidizing voice telephony to a new Connect America Fund that will instead support broadband expansion.

The Connect Puerto Rico broadband inventory map demonstrates that Puerto Rico is lagging behind most areas in high-speed broadband penetration. As a result, the USF reform underway will have a drastic impact across Puerto Rico.

“Puerto Rico has made positive strides to address technology challenges — a prime example being the creation of a Broadband Task Force, composed of individuals representing varied community sectors to inform the development of a Strategic Broadband Plan for Puerto Rico,” said Rodríguez de Hostos.

A coalition of private and public stakeholders including Governor Fortuño’s administration and Representative Pierluisi, as well as private members of the Puerto Rico Broadband Task Force (PRBT) are working collaboratively with the FCC to ensure that the reforms underway will help bridge the broadband gap across the island estimated by Connect Puerto Rico. The PRBT has focused on preparing for the knowledge economy through broadband. The PRBT is developing a strategic broadband plan for sustainable technology expansion in Puerto Rico.

“During 2011, the Puerto Rico Telecommunications Board has allocated approximately $1 million to establish free Public Computing Centers throughout the island, one in each municipality. The establishment of these centers is to reduce the digital divide by making sure all Puerto Rico communities have broadband access. As of today, two centers have been opened, in Moca and Toa Alta, and 4 more are in the final stages,” said Torres.

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Governor Mark Dayton Names 15 to Task Force on Broadband

Connect Minnesota Applauds Important Step in Increasing Vital Broadband

ST. PAUL, MN – Connect Minnesota applauds the naming today of 15 members to the Governor’s Task Force on Broadband. The Task Force is charged with developing policies to promote the expansion of broadband access in Minnesota. Governor Dayton’s stated goal is “border-to-border” high-speed Internet and cell phone access throughout Minnesota.

Connect Minnesota research has repeatedly shown the economic and quality of life benefits of expanded broadband. This announcement comes a week before the 2011 Broadband Conference co-hosted by Connect Minnesota and Blandin Foundation. The conference is taking place in Duluth on November 16 and 17.

“Connect Minnesota looks forward to supporting and informing the work of the Governor’s Task Force on Broadband in the months ahead,” said Connect Minnesota Program Manager Bill Hoffman. “The Task Force’s work on access and adoption issues will play a key role, in conjunction with efforts underway in the private and public sectors across the state, to ensure Minnesotans maximize the economic and social benefits of broadband.”

According to Governor Dayton, the Task Force will develop an action plan for identifying and correcting disparities in access and adoption of broadband in all Minnesota communities – urban, rural, and suburban. Dayton says that action plan will help ensure that homes, schools, hospitals, and businesses have access to the technology and information resources they need to thrive in a global economy.

Connect Minnesota research shows that 28 percent of the state’s residents are still not subscribing to broadband for a number of reasons.

Members of the Task Force represent a cross-section of broadband interests, including consumers, business and residential users, educational and healthcare institutions, telephone and cable companies, wireless providers, and government.

The Minnesota Department of Commerce, which houses the state’s Broadband Development Office, will work closely with the Governor’s Task Force on Broadband.

“For the short- and long-term success of our economy, every school, business, and consumer in Minnesota must have affordable, high-speed access to information and the online marketplace,” said Commerce Commissioner Mike Rothman. “That is what the work of this Task Force is all about.”

Members of the Task Force are:

• Shirley Walz, Senior director of technology for Thomson Reuters
• Bernadine Joselyn, Director of Public Policy and Engagement for the Blandin Foundation
• Margaret Anderson Kelliher (Chair), Director of the Minnesota High Tech Association
• Steve Lewsader, President of the Communication Workers of America (CWA), Local 7201
• Duane Ring, President of the nine-state Midwest Region of Century Link
• Gary Evans, CEO of Hiawatha Broadband Company
• Dick Sjoberg, Sjoberg’s Cable
• Daniel Richter, President of MVTV Wireless
• Danna MacKenzie, Director of Information Systems for Cook County
• Maureen Ideker, Director of Telehealth, Essential Health
• Matt Grose, Superintendent, Deer River Public Schools
• Steve Peterson, Bloomington City Council
• Bob Bass, Bloomington, AT&T Wireless
• Keith Modglin, Information Systems Director for the Mille Lacs Band of Ojibwe
• Bao Vang, President/CEO of the Hmong-American Partnership

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Connect Michigan Releases 2011 Residential Broadband Adoption Survey Results

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39% of Michigan residents still do not subscribe to broadband at home

Lansing, MI – Today, Connect Michigan released new residential broadband adoption survey results revealing the top trends in technology use among key demographics in Michigan. The preliminary indicators from the survey are available online, which gives a comprehensive view of the challenges and opportunities for expanding broadband in targeted sectors. The survey reveals that approximately 39% of Michigan residents are still not using broadband at home. Most notably, the majority of low-income, senior, disabled adult, and African-American households are without broadband at home, leaving them facing an uphill battle in keeping up with essential online resources, job and educational opportunities, and social services.

“The results of the residential broadband survey will allow Michigan stakeholders to have more detailed information available for broadband planning strategies as we move forward,” said Robin Ancona, director of the Telecommunications Division of the Michigan Public Service Commission.

This survey is conducted in support of Connect Michigan’s efforts to close Michigan’s digital gap. The survey explores the main barriers to adoption – cost, digital skills, and relevance – and also provides unique insights into the national broadband landscape.

Connect Michigan State Program Manager Eric Frederick said, “These survey results will help develop programs to ensure all Michigan residents have access to and are aware of the benefits of broadband.”

The survey reveals that:

• 44% of Michiganders living in rural areas do not subscribe to broadband service at home.
• When comparing to the 61% of all households that do subscribe, there remain large gaps among key demographics:
       o 65% of low-income households;
       o 44% of Hispanic households; and
       o 73% of seniors are without broadband.
• 55% of low-income households with children are without access to this essential tool at home.
• The biggest gap is among low-income seniors. Only 4% of low-income seniors subscribe to broadband and only 20% have a computer at home.
• The largest barrier to non-adopters is relevance - 27% of non-adopters say there isn’t Internet content worth viewing. The second most common barrier cited is that it is too expensive.
• The top reasons Michiganders say they started using broadband is because they realized it was worth the cost or it became available.

These results, and comparisons to many others, are available on Connect Michigan’s new consumer trends widget. This interactive tool gives people the ability to view, share, and download the results. Connect Michigan will use these survey results to target solutions in communities based on the demographic and economic barriers that the surveys indicate are most relevant to those communities.

This release comes on the heels of the FCC’s newly released plans to launch a comprehensive public-private initiative called Connect to Compete, aimed at extending digital literacy training and providing employment assistance to communities. Connect Michigan’s parent organization, Connected Nation, is one of the top strategic advisors in the national initiative.

Connect Michigan’s 2011 residential survey was conducted in the summer of 2011 and includes responses from 2,400 residents. The survey was conducted as part of the State Broadband Initiative (SBI) grant program, funded by the U.S. Department of Commerce, National Telecommunications and Information Administration, and funded by the American Recovery and Reinvestment Act of 2009.


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Connect Ohio Applauds Columbus Metropolitan Library’s National Medal for Community Service Award

Connect Ohio congratulates Columbus Metropolitan Library on its award from the Institute of Museum and Library Services

Columbus, Ohio – Connect Ohio is pleased to congratulate the Columbus Metropolitan Library (CML), on receiving The National Medal for Community Service.

The award issued last Tuesday, October 25, in Washington, D.C., by the Institute of Museums and Library Service (IMLS), named CML one of this year’s 10 winners. The award is considered the nation’s highest honor for museums and libraries for extraordinary civic, educational, economic, environmental, and social contributions.

Recipients must demonstrate innovative approaches to public service and community outreach. CML was recognized for its job help centers, homework help centers and Ready to Read Corps, all of which help to make a difference in the lives of people in the community. Patrick Losinski, executive director of CML, highlighted the library’s partnerships for its ability to do this work. Connect Ohio was noted as a CML community partner through its Every Citizen Online (ECO) program.

“I’m always humbled by our national recognition for the work we do at CML,” said Losinski, “Humbled because it is this community’s good faith and deep love for this library that allows us to be great.”

CML is a sub-recipient of Connect Ohio’s ECO grant and participates in holding ECO basic computer training classes.

“Congratulations to CML--this recognition comes as no surprise,” said Stu Johnson, executive director of Connect Ohio, “CML continues to be our best performing ECO sub-recipient. We offer a special thanks to Steve Hipes, CML team leader and ECO project manager, and his team of dedicated staff.”

Find additional information about the Every Citizen Online program

View a press release detailing the program

View Connect Ohio’s Every Citizen Online televised PSAs

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About Connect Ohio: Connect Ohio, a division of Connected Nation, is a nonprofit, technology-neutral public-private partnership that works with telecommunications providers, business and community leaders, information technology companies, researchers, public agencies, libraries and universities in an effort to help extend affordable high-speed Internet service to every Ohio household. For more information about what Connect Ohio is doing to accelerate technology in Ohio's communities, visit http://www.connectohio.org


Related Links: Connect Ohio on Facebook: http://www.facebook.com/ConnectOhio
Connect Ohio on Twitter: http://www.twitter.com/ConnectOH

Nevada Prepares for Statewide Broadband Summit

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Event agenda confirms Nevada’s power players coming together for job creation and economic development through high-speed Internet

Carson City, NV – Details are now set for the first-ever Nevada Broadband Summit taking place in Dayton this month. The event, called Wired for Success, will bring state, county, and local leaders together to discuss broadband expansion and the critical role technology will play in Nevada’s economic future.

“Whether you live in a rural or urban area, high-speed Internet enables access to quality jobs, information, and vital services ranging from interactive telemedicine to higher education,” says Nevada State Librarian and the Governor’s Broadband Task Force Chairperson Daphne DeLeon. “Broadband gives you the opportunity to work from home, take online classes, and market your products - all of which have a positive impact on the local economy.”

The one-day meeting is scheduled for Monday, November 14, at Dayton Intermediate School in Dayton, Nevada. The summit is being co-hosted by nonprofit Connect Nevada and the governor’s Nevada Broadband Task Force. The planned agenda includes the governor’s Deputy Chief of Staff Ann Wilkinson, Michael Skaggs from the Governor’s Office of Economic Development, and State Health Information Technology Coordinator Lynn O’Mara, along with several other leaders and experts who will play instrumental roles in creating and implementing plans for broadband expansion, technology adoption, and improvement of digital literacy skills for all Nevadans. In addition to the speakers, there will be several opportunities for attendees to interact directly with grant awardees, providers, and stakeholders through Q&A panels and direct conversations.

“Connect Nevada is focusing on expanding broadband access, adoption, and use by designing and implementing regional broadband deployment strategies,” says Connect Nevada State Program Manager Lindsey Niedzielski. “The plans will include partners from both the public and private sectors, all working together on local and regional technology planning, technical assistance, and ultimately, increased broadband adoption and digital literacy.”

Several tools and interactive resources will be demonstrated during the summit. Anyone with an interest in championing local broadband expansion in his or her Nevada community is encouraged to attend and contribute to the discussion by submitting questions through Connect Nevada Twitter using hash tag #NVbroadband.

To RSVP, please see the invitation on the home page of the Connect Nevada website at connectnv.org. The deadline to RSVP is November 9. For further information, please contact Lindsey Niedzielski at (775) 343-9600 or lniedzielski@connectnv.org.


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