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Icebergs Ahead for Fibrant’s Expansionist Visions Despite the Recent FCC Ruling

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Steve Mensing, Editor

♦ What Mayor Woodson said yesterday at Salisbury’s City Hall about the FCC ruling is one of the many reasons why Salisbury should never have gotten in over its head with Fibrant in the first place. The mayor and city council repeatedly betrayed a lack of expertise in broadband matters. Woodson expressed a delusional vision about Fibrant’s ability to expand out into the county.  Woodson, a good old Joe, appears to have no idea about the overwhelming barriers Fibrant faces on the road to broadband expansion:

Big Snag Number 1: North Carolina is a Dillon’s Rule state. City Hall evidently little understands how North Carolina state government operates. If Salisbury or any N.C. municipality lusts to expand its broadband services beyond its city limits, it would have to plead with our General Assembly to grant “Home Rule” to NC’s local municipal governments. At this time, law in North Carolina and 38 other States, is “Dillon’s Rule,” where municipal governments derive their authority from the State Legislature. Mayor Woodson and city council needs to brush up on the differences between Dillon’s Rule and Home Rule.

North Carolina’s statutory restrictions were never removed. The FCC may possibly have created a small path for municipalities from the 12 “Home Rule” states to move forward with their municipal broadband networks, but they won’t do squat with the Dillon’s Rule states. Do a little homework gang instead of reading scripts.

http://www.nlc.org/build-skills-and-networks/resources/cities-101/city-powers/local-government-authority

Big Snag Number 2: Our State lawmakers own a keen disinterest in having a non elected FCC bureaucrat commit Federal overreach and dictate how the states govern themselves. If they must do so, the state lawmakers will send this federal overreach to court. Don’t mess with state sovereignty. Especially the City of Salisbury who fibbed to a pair of local delegation lawmakers that the city would never take money from its water and sewer funds.

Big Snag Number 3: One of the most powerful lobbies in Washington, D.C. and North Carolina, with infinite deep pockets and an armada of highly-skilled attorneys, the broadband industry would drive its spear into the ground and take Tom Wheeler’s fantasy to court. It’s impossible to foresee Comcast, Time Warner Cable, AT&T, Charter, WOW, Century Link, and the other major privates not desiring to protect themselves and the free enterprise system. If you were in business, would you want your tax dollars used against you by some bumbling amateur like Fibrant or any other municipal broadband networks draining their city’s finances?

Big Snag Number 4: While most Republicans in the U.S. house and senate stand against Federal intrusion into state broadband laws, they still need to get some moderate Democrats on board for bipartisan support. At this point it appears a good possibility.

Big Snag Number 5: The very last hurdle for Fibrant is its ownself. Just imagine if Fibrant made the foolhardy error of expanding outside Salisbury’s city limits. The fact is if Fibrant couldn’t sell their services to enough people in Salisbury, what makes them believe they can compete with Time Warner Cable, AT&T, and Windstream out in the county?  Fibrant is badly defined by their instability, contracts, “Magic Math”, and over-priced TV and VOIP phones. Also studies show most people don’t give a hoot about a gigabyte or would use it. Most studies show folks generally don’t use more than 10 Mbps to 20 Mbps tops. And more importantly Salisbury’s tax and utility payers would be on the hook for expanding out into the county

Time Warner Cable is rolling out 10 gig X 10 gig fiber optic for business and residential TWC Maxx extreme high-speed internet across the Charlotte region. AT&T U-Verse also plans for a gig in Charlotte area.

Fibrant, even if they get some unforeseen forward momentum, will have a long wait before they could expand due to expected court activity–probably about a 2 year wait or so.



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