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Maine's Digital Divide
State Legislature Seeks More Rural Access
by mr sean Tuesday 18-Jul-2006 tags: coverage · business · legislation
The Bangor Daily News examines Maine's efforts to expand broadband access to rural and under-served areas. The state legislature has proposed "An Act To Accelerate Private Investment in Maine's Wireless and Broadband Infrastructure." (LD 2080, HP 1471). Maine's actions to stimulate private sector development stems partially from the frustration at Federal programs, such as the Rural Development Broadband Loan and Loan Guarantee Program. According to Jason Philbrook, president of Midcoast Internet Solutions, "the paperwork and stipulations for these loans were huge and would have changed the way many ISPs do business. Wireless also was the technology least likely to get funded based on prior awards across the nation. For me," said Philbrook "It is easier to get a loan at the bank for a little higher percentage and not have a person doing all the USDA legwork and ongoing compliance." The Leichtman Research Group, thinks Maine may be looking at the wrong problem. "The computer divide is where this starts. There is a direct link between household income and computer ownership. While 80 percent of U.S. households have computers, just over half of these households subscribe to broadband service," said Bruce Leichtman, LRG president, "When you look at households with incomes less than $30,000 per year, only 58 percent have a computer." But the bottom line is access. "Greater broadband access in Maine will have enormous ripple benefits to the state's economy," says Thomas B. Federle, top Maine adviser on broadband issues, "Study after study has shown that rural businesses with broadband access do better than rural businesses without it."

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garagerock
Premium
join:2002-06-14
Louisville, KY

What will get posted in this thread

1. "If you want broadband, move!"

2. "It's the tradeoff people make when they move to the sticks"

3. "I'm not subsidizing some hick's choice to live out in the country and demand broadband!"

4. "Broadband is not a right, it's a Rolls Royce luxury only for the urban/suburban, white, elite, upper crust of this country!"

and so on. Can't wait for the "I've got it, why should anyone else get it?" posts...
void_of_Ligh

join:2005-12-27
Nacogdoches, TX

Re: What will get posted in this thread

I wonder if people that always post the just move comments really understand what would happen if all us "hicks" that can't get broadband moved to the city. Cramped living conditions, Scarcity of jobs, More crime as more people in an area mean more criminals and more victims. and not to mention all the old cars on blocks. I don't think anyone is asking for low cost or free broadband in the rural areas. I would gladly pay the going rate and possibly a little more. All I want is the option. The usf is already being charged I don't think anyone expects it to really go away so why not make the telcos use it for what it was originally made for, universal service.
dadarkside
Premium
join:2006-05-20
The Moon

Re: What will get posted in this thread

The moron that posted that sentiment would also find himself importing almost ALL his food, likely quadrupling his grocery bill.

Ignorant ass.

garagerock
Premium
join:2002-06-14
Louisville, KY
They would say "you've got an option...Satellite! Get a T-1, you cheap bastard!"

Seriously though-in the past, I'm sure people said the same things about:

1. city water
2. electricity
3. automobiles
4. health care
5. high tech jobs
6. telephones

and so on. hell, I'd venture a guess that the railroads started out that way. after a critical mass amount of time, these things (and more) all made their way out to just about every corner of the country. why is broadband so different?

railroad

@162.94.x.x

Re: What will get posted in this thread

Actually, as an incentive to get the railroads to lay down track out west, the government GAVE the railroads every odd numbered section of land within 25 miles on each side of their track. Talk about a giveaway and corporate subsidy! This did open up the west and made it easier for people to move themselves and things West. Now, the railroads have since sold off a lot of their land holdings (making a HUGE bundle of cash) but more importantly THEY KEPT THE MINERAL RIGHTS. This is why (in Colorado and Wyoming at least) virtually every oil and gas well has a name like UPRR-Amoco #5, where UPRR stands for Union Pacific Railroad.

Old_Grouch
Don't just sit there silly DO something
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join:2004-05-26
Greenwood, IN
kudos:1
The Universal Service Fund is expected to dole out over $7 BILLION in 2006 across the four recognized programs.

If you think it is not being spent where and how it should be, there is a whistleblower hotline managed by USAC (Universal Service Administrative Company).

Before you blow the whistle on the bad guyz, you might review the four programs and see if any of them promise broadband service to every door in every community. I'm not sure that is what I read.

This is a good starting point.
--
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LoneGreyWolf
Premium
join:2002-09-09
Bath, NY
It is sad when these commenst are made ain't it? usually I am on the receiving end of them, case in point, the article posted about the 85% as the top end adoption rate posted other weekend. If only it were that easy to just move, man priorities just suck 8-).

garagerock
Premium
join:2002-06-14
Louisville, KY

Re: What will get posted in this thread

yeah, it's a real b*tch having a family and a job and whatnot. damn responsibilities...wait, they're not nearly as important as broadband! har har

OldschoolDSL
Premium
join:2006-02-23
Indian Orchard, MA

I'm for it

I'm all for people being able to get broadband access, no matter where you live. Provided though that my own cost does not go up to cover for someone else getting it and neither does my tax dollars.

Romney2012
Defeat Obama 2012-Chg we can believe in
Premium
join:2002-03-03
USA
kudos:4

Re: I'm for it

said by OldschoolDSL:

I'm all for people being able to get broadband access, no matter where you live. Provided though that my own cost does not go up to cover for someone else getting it and neither does my tax dollars.
You are right. One more necessity doesn't need to be added to the list of welfare rights.
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JTRockville
Data Ho
Premium,MVM
join:2002-01-28
Rockville, MD

Broadband = Utility finally?

The bill came through the "Utilities and Energy" committee. Broadband certainly isn't energy.
RayW
Premium
join:2001-09-01
Layton, UT
kudos:1

Re: Broadband = Utility finally?

said by JTRockville:

The bill came through the "Utilities and Energy" committee. Broadband certainly isn't energy.
But right or wrong, depending on your point of view, it is considered a Utility in the context that is being used here.
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JTRockville
Data Ho
Premium,MVM
join:2002-01-28
Rockville, MD

Will taxpayers share the profit since they share the cost?

Tax payers funding corporate profits at the rate of half a million / year. Sounds like corporate welfare.

hawk82

join:2001-04-26
Oakland, ME
Reviews:
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2 edits

Thoughts...

Jason's a pretty cool dude. I've met him a few times and got a tour of his operations. He was one of the first ISP's in the nation to do wireless broadband.

The Leichtman Research Group, thinks Maine may be looking at the wrong problem. "The computer divide is where this starts. There is a direct link between household income and computer ownership. While 80 percent of U.S. households have computers, just over half of these households subscribe to broadband service," said Bruce Leichtman, LRG president, "When you look at households with incomes less than $30,000 per year, only 58 percent have a computer."
I have to disagree with this statement. A lot of people in that household income have computers around here. Much higher than 58%. Don't ask me how, but they have a fancy car, cell phone, satellite tv, big screen tv, but live in a house worth $50,000 or less. Priorities I guess.

I think the real problem with getting internet and cell service here is the vast territory and distances between populations. Maine doesn't have a lot of large populace areas. Bangor and its suburbs, Portland and its suburbs, and southern Maine. That's about it. Everywhere else, it is towns/cities of 20,000 or less, which small towns surrounding it, or just spread out.

Dumping money into the problem is great I guess. Broadband penetration in Maine is getting much better.

Edit: Another reason people live out in the "sticks" is cause the taxes are a lot less. Maine has some of the highest property taxes in the US. We do a lot for our citizens. Jobs are also an issue here in Maine. Not a lot of decent paying jobs so where you can move into the city. Pretty stagnant.
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swintec
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Alfred, ME
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Re: Thoughts...

Correction...We are the highest taxed state in the nation. Not just property tax but excise taxes, sales taxes, this taxes, that taxes..it just goes on and on. This state is just not business friendly, heck, they even want to tax Poland Spring bottling for EACH bottle of water they produce. It won't take much for Poland Spring to say screw it and move to NH to do business. Maine for the longest time has been a mill and factory state, with a new mill and factory closing which seems like every week, where are the people who worked for 20 years suppose to go? We seem to have more and more retail jobs popping up, so they go there..and make 9 dollars an hour. Hmm...highest taxe rate and a fairly low yearly income. Something just has to give, and then..and only then can we start hoping for bigger businesses and the investments for broadband and similar technology to be deployed.

hawk82

join:2001-04-26
Oakland, ME
Reviews:
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Re: Thoughts...

You sure about sales tax? It is 5% on most purchases, except food preparation and a few other items.
When I left new jersey in 96, they had 7% sales tax.

I like 5% sales tax. Makes invoicing my customers much easier.
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swintec
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join:2003-12-19
Alfred, ME
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Re: Thoughts...

said by hawk82:

You sure about sales tax? It is 5% on most purchases, except food preparation and a few other items.
When I left new jersey in 96, they had 7% sales tax.

I like 5% sales tax. Makes invoicing my customers much easier.
Sorry for not being clearer, I do not mean we have the highest tax in any one category, I meant this as in we have the most taxes in the country, where in adding them up and analyzing what we pay, we pay the most. Sure sales tax is 5 %...I go camping I pay a 7% lodging tax. I register a car and god forbid its brand new I would pay anywhere from $500 if its a cheaper car to over a grand depending on the model for excise tax..and this isnt just once, its every year! Decreasing slowly, each year. My parents just paid 350 dollars, which they pay each year, to register there camper, which you can not register for only half a year, which would make sense, but only for a full year (i guess you gotta register to have it sitting in your yard for the 8 months of winter we have ). I've talked to many business owners who say the taxes are rough on them. Like I said, why can't we be more business friendly? This goes back to trying to tax Poland Spring for each bottle of water produced, classic example..with so little incentive for them to be here already, why keep pushing them away with this kind of crap?

powerhog
Stinkin' up the joint
Premium
join:2000-12-14
Owasso, OK

Doesn't sound like a government-funded deployment.

"An Act To Accelerate Private Investment in Maine's Wireless and Broadband Infrastructure."

Could just be a kind of state-wide franchise agreement where lower population cities get broadband in exchange for deregulation.

Old_Grouch
Don't just sit there silly DO something
Premium
join:2004-05-26
Greenwood, IN
kudos:1

Re: Doesn't sound like a government-funded deployment.

Sounds nice --- BUT.

SBCatt promised the Indiana legislature that they would turn dsl on in rural communities that were not being served in trade for a number of gimme items like release from regulatory oversight in x years and statewide franchise for telly.

Well, they turned it on in the CO's. Still won't reach the farms and distant customers 'cause DSL's still distance-sensitive but the good ol' boyz got what they wanted and it sounded nice.
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jebba2005

join:2005-01-13
Portland, ME

love/hate my state

Maine's telecommunications infrastructure is sound. Through substantial investments by Verizon and others we have a fiber backbone that is second to none. Still, in this fast-paced global economy we cannot rest. We need to build on our foundation to keep every advantage we have.

that quote is from John Baldacci( governor) , his state of the state speech on 1/25/05

btw , the states website is down.

BOGBS
Premium
join:2004-05-11
Reviews:
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4 edits

Re: love/hate my state

regarding the Maine state website being down, I'd say that the state infrastructure is not so sound IT wise... That's pretty hilarious if I may say so.

I definitely agree with with hawk82 on some potential for a higher percentage of computer penetration of people with $30,000 or less incomes, as far as Maine goes.. Of course that stat is most likely closely accurate for the US as a whole. I don't know how many people I've seen that make sub $30k with a computer. I'm thinking some of it has a good amount to do with older computers collecting dust that end up passed down. In a lot of rural areas, some will use a computer to gain communications/entertainment, via chatting with random people on the internet, etc.

This right here is a random bit, but Baldacci is close on the fiber backbone as well. I would not say second to none, but then again I'm in no position to say that. I'm saying that based on Verizon's newer FTTH deployments that are expanding. Of course FTTH wouldn't be economical in most areas of Maine, because cost per home passed in many areas would be astronomical. (in low population density areas, most of the geographic area of Maine)

hawk82

join:2001-04-26
Oakland, ME
Reviews:
·Verizon Online DSL
Pretty sure the state web site was down due to a really bad thunderstorm Augusta had last night. The Maine DEA office lost their roof due to an unconfirmed funnel cloud. I've got a friend who works in the state IT center. He gave me the grand tour of their NOC and as for redundancy, it is pretty good (network wise, not sure about where the web server hosting the state site was and if I saw it in the tour).
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Computer & Network Consultant
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