HomeMy WebLinkAbout2000-02-16 Agenda Packet - Board (20) TDPUD STAFF REPORT
TO: Board of Directors
FROM: Alan Harry, Director of Telecommunications Services
SUBJECT. Telecommunications Survey
DATE. February 11, 2000
AGENDA #
At your January 5, 2000, regular meeting your Board authorized staff to enter into a contract with
Sierra Market Research to conduct a survey of District customers on the subject of
Telecommunications.
The survey has been completed, and at your meeting of February 16, 2000, Mr. Carl Bergemann,
Director of Sierra Market Research, will deliver a written and oral report of their findings.
In addition, staff has attached for your review, articles pertaining to public agencies who have, or
soon will, begin providing telecommunication services within their respective communities, and
letter/ e-mails from District customers expressing their views on the District providing such
services.
RECOMMENDATION:
No Board action is requested.
Groton , Conn . , says yes to community-owned telecom
The city of Groton, Conn., plans to customers, said Director of Utilities he said.
begin offering high-speed data trans- Alexander B. Chisholm. "The construe- The city-owned utility must Find new
mission, Internet and telephone service tion of the fiber optic network and all ways to offer better service to its cus-
Iater this year, now that voters have ap- its related products allows Groton Utili- tomers, Cris ro m added. -The utility in-
proved the plan. ties to offer a high-tech solution to busi- dustry that everyone knew is dead," he
Residents voted last month by a 7-1 ness problems facing our customers to- sai roton utilities can only survive
margin to authorize their municipal day," he said. This will make it easier by respon ing aggressivel to the ra id
electric utility, Groton Utilities, to en- for the utility to create strategic alli- rate ot, change in today's business
ter the telecommunications business. ances with its large business customers, world."
They approved $6.9 million in funding —
for the construction of a 32-mile fiber
10 Public Power Weekly July 26,199T--
Little Newnan, Ga . , shows telecom business can pay
Listen to Jeff Strane talk about the ever, provide cable TV services and it and treat a patient from home.
virtual world ofNewnan,Ga.,andyou'll won permission from the state Public Anew residential development now
want to live there. Or, if you run your Service Commission to become a com- under construction outside of Newnan
own municipal electric utility, you'll peting provider to BellSouth of local willhave cable television and telephone
want to be like Jeff. telephone service. service from Newnan Utilities.The de-
Newnan Utilities has been in the tele- In 1996, Newnan embarked on con- velopment,SummerGrove,will spring
communications business since Decem- struction of a 750-mhz cable system fea- into existence with its own virtual exist-
ber 1996.The 95-year-old electric utility turing two-way 10-MB cable modem ac- ence,SummerGrove.net,a community
serves 5,500 electric customers.For now, cess,30 music channels and 86 TV chan- home page that will provide informa-
Newnan has little prospect of expand- nels. The system provides Internet ac- tion on babysitters, tee times, restau-
ing its base of electric customers be- cess at a speed 32 times as fast as a 28.8 rantmenus,and other community news.
cause a 1973 state law established firm modem.Internet access is provided on Part of Newnan Utilities' strategy is to
geographic territories for Georgia's Newnan's hybrid co-ax fiber system. build relationships with those tele-
private, public and cooperative utili- Strane described Newnan's telecom phone, cable and Internet customers
ties. As Newnan's city boundaries ex- venture at APPA's Strategic Marketing so thatwhen retail electric competition
panded, the utility was permitted to and Economic DevelopmentWorkshop begins in Georgia—which Strane ex-
serve the (money-losing) water and in Charleston,S.C., last week. pects will happen in about 2003—
sewer customers, but not the more lu. The telecommunications system is Newnan Utilities can offer electric
crative electric customers.It could,how- part of Newnan's economic develop service to its telecommunications
_ ment strategy,based in strong measure customers.
on as sire to avoid becoming a bed- Entering the cable TV business in
room community for Atlanta.Without Newnan meant building a duplicate
its own business base, Newnan would system to compete with the existing
face the need to build high quality supplier. Once Newnan launched its
schools on a residential tax base,Strane project, the local cable company
- said, The telecommunications system dropped its rates by $10, bringing an
links the community in the same way immediate benefit to local residents.
that a single office building would link But the cable company considers itself
all of its computers on a local area part of the entertainment business.
network.Schools,libraries,homes and "We're in the utility business," said
businesses are all hooked together and Strane."We provide 24-hourrepair ser-
form a virtual community.The capacity vice,we don't care whether its for kilo-
and speed of the network makes it pos- watt-hours or megabytes or telephone
sible for children to conduct research service. The cable company does not
on the Internet, prepare a homework think this way."
assignment and e-mail it to their class- The telecommunications venture has
room.Hospitals can run a CAT scan on been a financial success for Newnan.
a patient and e-mail it to a physician's The ut lity paid off its debt service on
home.allowing the doctor to dia¢nose t e ca e system wimin two years.
Public Power Weekly July 5.1999 3
Service will be faster than dial-up
Massachusetts town to offer high-speed Internet hook-up
Shrewsbury's Community Cable- reality this September." analog system.
vision (SCC) will offer high-speed Trucks are rolling and crews are Basichigh-speed Internet service will
Internet service beginning this Sep- stringing cable throughout the town cost$39.95 (including modem lease).
tember to the Massachusetts town's in preparation to offer new services, Service is direct-connect, on line all
residential and commercial custom- the municipal utilitysaid.High-speed the time through a cable modem,
ers.The launch of Internet and other Internet service will be launched by which eliminates the need to pay for
new services in partnership with ISP Septemberand digital cable program- another phone line to receive service,
Channel will be the result of an ongo- ming will be launched in the fall. the utility said.The SCC/ISP Channel
ing $7.5 million upgrade project to Internet service will first be available service will include customer support
enhance the system and bring state- in the central area of town, and the 24 hours a day, seven days a week.
of-the art, high-technology commu- whole town is expected to be ready Costs for installation and other service
nications services to the community, for service before the end of the year. options are being determined but will
the municipal utility said. The upgrade project will overhaul be competitive, SCC said.
"Construction has begun and we're the town's 15-year-old cable plant and "We are well aware of the market-
looking forward to providing custom- put in place a technologically ad- place and will make sure that our pric-
ers with Internet access at speeds sig- vanced system, the utility said. SCC ing and programming options are very
nificantly higher than what's avail- said its digital cable services will in- competitive,"Josie said."We are proud
able from dial-up service providers," elude up to 100 or more new digital of our tradition in meeting the compe-
said Thomas R. Josie, general man- cable channels, including Pay-Per- tition in both pricing and program-
ager of SCC and Shrewsbury's Elec- View, digital music, multiplex pre- ming. In fact, Shrewsbury's cable cus-
tric Light Plant. "We've had a strong mium and basic network program- tomers today pay about 28% less in
interest expressed in this new service ming. Digital cable services will be in rates than those paid by customers
and we look forward to making it a addition to the existing 80-channel served by Greater Media." 1
Eugene; Ore beginsrbig fiber optic}project +f
The Eugene Water&Electric Board several local agencies, including the
has awarded a contract to MFS Net- schooldistrict,countyand theUniver-
work Technologies to construct the sity of Oregon. Eventually, the utility
initial phase of a fiber optic commu- may offer Internet access over the sys-
nications system in Eugene, Ore. tem, Hamilton said.
The first phase of the project, ex- EWEB is using a flexible design that
pected to cost $8 million,
will link 35 siteswith 62 miles t =- .
of fiber optic cable. It will Z` eflrst tlh8se,ot he protect, �s
connect a network opera-
tions Center at EWEB's bus?
ness headquarters with 25 4 expected to eost:$8 m11t10n, Wlll,z " '.
EWEB substations and three € '
4 ,
Bonneville Power Adminis- =`�jnk $5_Slte$With ti2'mlteS Df tlher .`
tration substations. Con-
struction of this phase will
be completed by the end of optic eatite4
the year, the utility said.
The Oregon utility plans to use the -'will allow us to add the capability of
networkfor its own communications, carrying video, local area network,
including real-time demand moni- voice,and Internet traffic between the
toring and remote meter reading, public schools, the University of Or-
said EWEB spokeswoman Cathy egon,an othermunici allocations,"
Hamilton. But excess fiber will be sat en Beeson,the utility's telecom-
laid to allow a future connection with munications project manager. I
City utility in Greenville ; Texas,
plans to offer telecommunications
Greenville Electric Utility this the-art communications infrastruc-
month announced plans to become ture, the utility said.
the first city-owned utility.in Texas "We are excited about expanding
to own its own cable television sys- our fiber optics network to provide a'
tem. The utility plans to begin pro- community-owned,locally controlled
yiding cable television and high- infrastructure to ensure that
speed Internet service to,its`custom- Greenville will have access to the
ers in 2001. information superhighway," said
GEUS-began constructing a fiber David Mc Calla, assistant general
optic network throughout its service manager for GEUS. "We will be able
territory roughly three years ago. In to offer a programming package of
addition to internal uses, the net- cable television service and high-
work has been used to connect mu- speed Internet that is better than
nicipal, county and school district what is currently being offered, and
facilities. A citywide hybrid fiber at a ower cost. We see this as a natu-
optic and coaxial cable network is to ral addition to the electric service we
be constructed to provide state-of- are already providing." 1
Page 2 August, 1999
ALAMEDA
POWER&TELECOM
The City of Alameda Bureau of
Electricity has a new name—Alameda
Power&Telecom!
The change from the former "Bureau of
Electricity"is a result of Alameda's
evolving role as a provider of power and
telecommunications services to residents
and businesses in Alameda. Besides
electricity,Alameda Power&Telecom are
looking into new telecommunications
services such as cable television,telephone,
high-speed data transfer and Internet access.
Key to the name-change decision by the
Public Utilities Board was the installation of
fiber-optic cable throughout the City. The
upgrade provided an advanced power
distribution and monitoring system and
made the network available for
telecommunications services.
Founded in 1887,Alameda Power&
Telecom is the oldest municipal electric
utility in California. Serving approximately
32,000 business and residential customers in
the City,Alameda Power&Telecom
remains a department of the City of
Alameda, directed by the City's Public
Utilities Board.
}',,Z14 41e, st/ 98
Municipal utility in Longmont
to lease dark fiber to lCG Netcorn
The city of Longmont, Colo., a 17-mile fiber optic backbone
and ICG Netcom have signed an ring around the city in January
agreement for the company to 1998. The 144-fiber backbone
lease dark fiber capacity on the connects most municipal facili-
city's fiber optic backbone net- ties, including electric substa-
work. ICG Netcom is the first tions, and is currently used for
commercial customer on municipal voice and data com-
Longmont's municipally owned munications. The system utilizes
fiber system. As part of ICG synchronous optic network ring
Netcom'sstrategyto expand into technology for a self-healing,
Northern Colorado, the com- open standard network that en-
pany is installing its own 200- ables inter-
mile fiber network and will lease connections
12 fibers for 20 years from OW for multiple
Longmont to begin offer- Q 7 `` vendors and
ing local, long distance, ��F tO�'6' services, the
Internet and data ser- 1�^ V �0 municipal util-
vices to customers Ia icy said.
along the northern ) {/) PRPA com-
Front Range by Octo- A C'0 � 2` pleted construc-
ber 1998. 9� 1 OR N tion of a 96-fiber line
Longmont Power & 7 �CQ.� between Fort Collins
Communications, the i and Longmont in Feb-
city's electric and telecom- ruary 1998. The Platte
munications utility, will River and Longmont fiber sys-
provide ICG Netcom with inter- tems are linked for electric sys-
connection to the Platte River tern monitoring and control as
Power Authority fiber optic com- well as voice and data communi-
munications network. Platte cations.
River and ICG Netcom are ex- Longmont Power & Communi-
ploring joint opportunities on cations said that, on behalf of the
PRPA's system, which connects city, it continues to seek alliance
Longmont, Loveland, Fort opportunities with telecommuni-
Collins and Estes Park. cations service providers for ex-
"The lease agreementwith ICG tension of the fiber network and
" Netcom accomplishes two of our delivery of advanced communi-
original goals for building the cations services throughout the
fiber backbone,"said Jeff Gould, community.
director of Longmont Power & "ICG Netcom is pleased to be
Communications. "It stimulates bringing a telecommunications
competition for telecommunica- choice to Longmont and North-
tions services in the community ern Colorado due to the fact that
and it reduces construction in it has been absent for the last 100
streets and rights-of-way by en. years," said ICG Telecom Group
abling service providers to use President Sheldon Ohringer.
the city's fiber capacity instead "The early response has been fan-
of building their own fiber tastic and we expect to become a
routes." prominent new teiecommunica-
Longmont Power&Communi- tions choice in Longmont and
cations completed installation of Northern Colorado." I
Fiber Optics ,
i„II � wl
:4
.l
Washington PUD Association, BPA Sign Historic Agreement
will provide services to those areas at
a reasonable cost. Washington PUD
Washington's ashington's rural communities are a step closer to the infor- Association is the first in Washington
mation superhighway thanks to a new contract between the to step up and provide this kind of
Washington PUD Association (WPUDA) and the Bonneville service to the public.
Power Administration (BPA). "Bonneville's assets are a public
BPA and WPUDA signed an agreement to make fiber optic resource, and we want to use them to
cables available to public and private utilities and other entities, meet public needs.This agreement is
very much in the spirit of BPA's origi-
and to the communities they serve. nal mission to bring utility services to
The PUD Association is organizing a nonprofit mutual corpo- under-served areas. We look forward
ration, called Northwest Open Access Network, to operate the to working with others to achieve this
fiber system. Sixteen PUDs will belong to the organization initial- goal."
ly_More utilities and other entities may join in the future. "These lines will enhance utility
operations, but we're also pleased to
be working with Bonneville to open
Greg Marney, director of relecom- members will operate the network up lines to our communities," said
munications for WPUDA, said the net- within their own service areas. Don Goddard, manager of Grant
work is expected to be in operation by "The areas this agreement will County PUD and chairperson of a
early 2000. Interconnection points will serve are small markets," said Jack committee overseeing development of
be available in every county where Robertson, former BPA depury admin- the public telecommunications net-
BPA fiber now runs within the next istrtror. "They sometimes do not rep- work. "Many PUDs and other utilities
two years. NOANet will provide resent economic investment opporm- serve communities that currently do
access to telecommunication Transport nities. To achieve our objective, we are not have high speed telecommunica-
among its members. The individual offering special access to anyone who rion facilities.
24 BULLETIN December Nq9
I
I
i
"We want the people we serve to connections. Rates can be four times is needed, with split-second adjust-
have all the opportunities that urban higher than those for urban areas. menu. Utilities can offer remote
dwellers enjoy," he said. "This really But end-user costs for rural and and real-time meter-reading and
is a historic opportunity to bring our remote areas served by the BPA pro- energy management services,
communities into the modern era, gram will be roughly comparable to enabling customers to cut costs and
much like the rural electrification those paid by end users in larger use energy efficiently. Utilities also
effort of the 1930s and 1940s." communities in the Northwest. need Internet connections and
BPA's rates for the public benefits advanced data networking among
Excess Capacity Intended for fiber program fully recover BPA's scattered facilities.
Community Use costs to install and operate. BPA has a commercial fiber pro-
NOANet's utility members will BPA has installed fiber optic gram for companies not offering
use the network for utility purposes cable along its electric transmission broadband capacity to small mar-
and plan to make excess capacity lines to operate the regional power kets. This too makes use of excess
available to other organizations, grid. The fiber replaces an existing capacity not needed immediately to
including schools, hospitals, muse- microwave system that is becoming keep the power grid reliable.Money
ums, libraries, businesses that con- obsolete. Fiber has tremendous earned is used to offset the cost of
tribute to rural economic develop- capacity —more than meets BPA installing fiber optics cable. ■
ment, and federal, state, local and immediate needs —so the federal
tribal governments. The utilities power agency is making some of the SOURCE: WPUDA Current, Fall
intend ro provide open access to the excess available to benefit the public. 1999 issue
network at nondiscrirnmato , non-
_pro it, cost-based rates. How Utilities Use Fiber Optics
Rural communities are not eco- High-speed digital telecommuni-
nomically attractive to most local cation technologies have a number of
Article's'_in the Feature section fepture „✓�
opinion of indi i"l authors'dnd do
and long haul telecommunications applications in the utility industry. < 11
not necessarily reflect those of
companies because of the lack of Electric utilities use the technology to or theputw.y in dustryas a who(f t`
population density and remoteness of direct the delivery of power where it rv`t w
What is NOANet?
The Washington PUD Association is organizing the Northwest Open Access Network (NOANet) to manage
the fiber optic cables leased from BPA. NOANet wilt provide its utility members with the telecommunication '
highway they need to effectively operate their electric and water utilities, and will. make excess capacity
available to others. NOANet will, benefit the public by operating on a nonprofit basis, and by providing open,
nondiscriminatory access to all end-use customers and suppliers of telecommunication services.
NOANet wilt provide the backbone of a Pacific Northwest telecommunication superhighway; it will not
provide telecommunication services. Individual NOANet members or associates will, be responsible for build-
ing telecommunication systems within their service areas that will connect with the backbone system.
Membership in NOANet wilt be open to all who can Legally join, and who agree to provide public bene-
fits by offering use of their telecommunication systems to customers and telecommunication suppliers on a
nonprofit basis. Others may participate on the same basis.
Source: WPUDA Current, Fall 1999 issue.
December 1999 BULLETIN 25
Feature
Tacoma Power Expands Telecommunication is a new ven-
by Adding Fiber Optics ture tor Tacoma Power, buttaking
on new ventures is nothing new for
the 106-year-old utility.
by Sue Veseth Tacoma Power has been munici-
pally owned since 1393, when
Tacoma citizens voted to buy the pri-
X vately owned Tacoma Light & Water
Company. Citizens believed that pub-
tic ownership and local control
_ would give them higher qualityY , services.
1, Tacoma Power's telecommunica-
tions project evolved in a similar
way. Tacoma Power originally
planned to build a fiber-optic net-
work or automated istri upon sys-
S rem contro. A consultant suggested
that the utility, for a small incremen-
tal investment, could build a network
with additional capacity that would
allow the utility to develop new ser-
vices that would strengthen customer
loyalty and generate revenue.
_ Tacoma Power decided to build a
hybrid fiber-optic/coaxial network to
t connect all of its 143,000 customers
as well as its substations—and help
offset the cost by selling data Trans-
port and cable television services.
"We recognized the economic
e- development potential for the com-
jmuniry we serve and the potential for
new services for our,customers," said
Steve Klein, Tacoma Power superin-
tendent who spearheaded the rele-
communications effort. "We were
_EVS prepared to invest in a system that
would benefit every customer in our
_ service area and give them a choice
of telecommunications services.
rS "A system-wide network also
opens possibilities for automated
f„ meter reading, power outage report-
ing, better reliability and a two-way
communications link with our cus-
tomers," he continued. "With com-
petition in the electric utility industry
increasing, the relecommumca[ions
network offers us opportunities to
i.L,
serve our customers in new and piece of cable became the first sec- marketing and branding expertise to
exciting ways." tion of the downtown Tacoma net- select the name Click! Network and
Tacoma Power's in-depth techni- work. design a distinctive logo.
cal feasibility studies, market analysis Construction on the residential "Selecring the right name was
and customer research all strongly cable television network began in crucial,'" said Cyndi Wikscrom, mar-
supported building the network. So December 1997 and service began in keting and business operations man-
did citizens, who almost universally u y 1 98. By November 1999, ager. "Click! is a great name because
favored the project, primarily Tacoma Power had more than it reflects that the network will pro-
because of the prospect of comperi- 10,000 cable television customers. vide cable television, Internet access
tion for the incumbent cable televi- Tacoma Power plans to complete and broadband services. Ic communi-
sion provider. network construction within Tacoma cares what we offer—quick access
Tacoma Power's governing bod- in early 2000 and expand service to to information and entertainment."
ies, the Public Utility Board and City its customers beyond the city limits Tacoma Power's relecommunica-
Council, gave the utility the go-ahead as franchise agreements are compeer- rions network will consist of some
in 1997. ed.Tacoma Power needs to negotiate 1,400 miles of fiber-optic and coaxial
Tacoma Power had developed with 10 separate municipalities to cable. It is designed to support utility,
some expertise in telecommunica- serve the entire utility service area. cable television and broadband appli-
tions business while preparing the As construction began, so did cations.
business plan but realized that mov- marketing efforts, including selecting
ing forward required skilled employ- a name. Tacoma Power brought in contm.,don pg.22
ees from the telecommunications
industry who could build a system
from the ground up. They found a
leader in Debra Stewart, who has
been in the cable television business www rwbeekeom
since 1975. She has worked in every Telecommunications
aspect of the cable business from ventures
construction to franchise negotia-
tions. Nearly all of Tacoma Power's
98 telecommunications employees
are telecommunications industry ver- New Product Ventures
erans, bringing between 10 and 30
years of experience to the project and
unlimited enthusiasm and commit- "sue
ment to making is work. Power Marketing/Asset
"A lot of talented people are Maximization
working on this project," Stewart "y _
1
said. "The attraction is the opportu-
niry to build a Brace-of-rhe-art net-
work from the ground up and to Risk Management
build it right. Our network will give CHEATING YOUR SUCCESS [ROM
customers superior products with
superior reliability." THE DYNAMICS Of CHANGE
Fiber was first installed in down-
town Tacoma in August 1997 to
accommodate the Frank Russell
Company, an international invest- Contact Angeiostuzzn
ment management and asset consult- 20s^'954405
ing firm. Tacoma Power made a amuzzr.4mteacom
fiber-optic connection between two
Frank Russell facilities so it could
move large amounts of data. This
December 1999 BULLETIN 21
Feature
"Some utilities have reduced
their average power outage
time from SO minutes to less
than six minutes with automatic
fault restoration. The customer ,, '
benefits are obvious." A '
Joe Girth, Tacoma Power
SCADA supervisor
Y
J -
Continued fiom pg.21 system operations, starting with Click! commercial.products fall
automatic fault restoration. The net- into three major categories: cable
The 35-mile "backbone" of the work will sense a fault, isolate it, television, Internet access and broad-
system is an optical cable ring that restore electrical service tote band services.
routes communications between the remainder of the feeder and notify Cable television: Cable television
cable television head-end and six dispatchers where the fault is. s the most visible non-utility applica-
major hubs, located at Tacoma "Some utilities have reduced Lion. Click! Network offers 114
Power electrical substations. From their average power ourage time channels of cable television program-
the hubs, optical cable "service from 50 minutes to less than six min- ming, which includes a digital music
loops" route communications to utes with automatic fault restora- service and several premium and pay-
some 125 neighborhood nodes. Lion" said Joe Orth,Tacoma Power's per-view channels at competitive
Coaxial cable from the nodes com- SCADA supervisor. "The customer prices. So far, Click! is realizing bet-
pletes service to individual homes benefits are obvious." ter than its market penetration goal
and small businesses. Large business- Tacoma Power also may use the of 25 percent.
es, government institutions and sub- fiber-optic network for voltage con- The head-end for cable television
stations that demonstrate a need for trol, especially in an area of Tacoma service is located at the Tacoma
high-volume voice or data traffic with a large number of volrage-sensi- Power office complex. The head-end
receive direct fiber-optic connections. rive industries. Real-time data on is the control center of the system,
One of the "build it right" voltage fluctuations will enable where incoming television and satel-
requirements is redundancy. Re- Tacoma Power to better address lice signals are processed for the net-
dundancy is built in throughout the industry needs. work. Click! has seven satellite dishes
system so that services from each Data gathering is an important at the head-end to capture incoming
hub and each node can be provided network application. Tacoma Power cable signals. A 120-toot tower at
through Two different routes. Further, will be able to extend its SCADA sys- the Pearl Street hub captures signals
each node has batteries to provide up rem to include unit substations as from local broadcast television sta-
to three hours of back-up power. A well as main substations. tions and sends them to the head-end
status monitoring system, similar to a "We plan to build a data ware- for distribution.
power SCADA system, provides con- house with information from the unit Internet access: Click! has devel-
tinuous information about the net- subs and the main stations," Orrh oped a unique platform on which it
work and notification when prob- said. "The data will help our plan- provides transport for multiple
lems occur. ning efforts and support our Internet service prove ers ( SPs) to
For most Tacoma Power cus- Geographic Information System, jusr otter customers high-speed Internet
comers, Click! network means cable to name a few uses. Once we have access T roug cable modems. Click!
to evtsion, but the core use of the net the data, it's likely we'll find many w Create usiness alliances with
work is for utiliry applications. The more ways to use it productively for ISP tto allow them to use The nor-
primary uses will be in distribution our customers." wor ro ojTr cable modem Inrerner
services to business and residential private, secure networks for e-mail to build, install and maintain it.
and data transport. Organizations that use the I-Net will
customers. ay for necessary electronics and
Broadband and other business While many high-speed data p
services: Broadband telecommunica- transport services focus on large connection to the I-Nec plus an
tions services include products for companies, Click, services will be annual maintenance fee. They then
telephony, data transport and adaptable and affordable for medi- can use the I-Nec at no additional
Internet service for business cus- um-sized and small businesses, which charge. "All the `dividends' from this
tomers, plus cable television and digi- make up a large part of the Tacoma pourers roject notdirectly form a more ck to hoices,
cus-
tal music for business. Click! business community.
s higher quality
launched its business services, Click! Institutional Network: Click! ity Ichoices and creating a
Business Advantage, in 1999, and also building an institutional ner- community asset " Klein said.
,
offers customers transport services work, or I-Ner, which is a "network "Building the system has been a
from DS1 to OC43 in addition to within a hetvork" that links schools, major challenge, bur it is also a
Internet access through Click! ISP colleges, universities, libraries, park major accomplishment as well."
Advantage. Contracts with Electric buildings, police and fire services and Click! Network's World Wide
Lightwave and Advanced Te1Com other public facilities. The Tacoma I- Web address is
Group give business customers high- Net has the potential to connect http:/1www.click-network.com. ■
speed data transport anywhere in the some 300 public facilities in Tacoma, Articles in the Feature section
world. allowing them to share video, voice feature opinions of individual
Businesses are also able to use and information services. City goy- reflecct those of NWPPA or t and do not he
Click! to connect local area networks ernment will pay for and manage the utility industry as a whole.
-at several facilities, creating virtual I-Ner and has contracted with Click!
�. if you can imagine it• • •
we can
build it
•Transmission and Dist ribution/Substation DesignlProcurementlConstruction
Substation Integration(Automation/SCADA
•Underground Cable Transmission and Distribution
•Telecommunications-PCS,Fiber, HFC,Microwave,Central Office
r ��'` • - •Permitting/Licensing/Environmental Support
��� •System Studies
�r` � a1 •Project and Construction Management(Inspection
•Natural Gas Transmission and Distribution
Contact. Dave Pleskac
4004 Kruse way Place, Lake Osweg regon 97035 •Phone: 503-699-2331 •Fax:503-697-3699•E-mail pleskacddjj@bv.com•www.bv.eom
V
1 1 BLACK • ,
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December 1999 BULLETIN 23
Y
4 Public Power Weekly August 23,1999
Schools and others in Stillwater, Okla . , team up with
the local electric utility to build a fiber optic network
Stillwater, Okla., found the histori- Stillwater elec T
cal recedentsetb public power
p by p tric utility was �
ties at the opening of the 20th century consideringthe r
useful in helping this city of 40,000 installation of a
open doors to the new millennium. `
fiber optic sys-The city,its public power utility,the tem for SCADA
school system, Oklahoma State Uni- communica >N
versity and some private businesses tions and re
have'oinedforcestobrin high �
1 g g mote network-
width
width fiber optics communication ca- ing. Soon, the
pabilities to the area in the face of area's major l '` i. ■telr'
high prices and less than stellar coop- medical center, . s
eration from the local investor-owned OSU and the s <y-
telephone company. local voca- a b
"This all began five years ago,when tional-technical a *"
a group of'techies,'including me,got school came on
together and drew up a plan for a board. The en-
fiber optic system that could provide tities cooper-
high-speed data communications, ated on devel-
cable television, telephone, Internet opingaplanfor
access, meter reading and other ser- a 'bare bones'
vices,"Mike Herron,electric director system at a cost
for the Stillwater Utilities Authority, of$491,000.
told Public Power Weekly. "So many in- The city was
dividuals,companies and government ready to begin
entities wanted better telecommuni- work on its
cations services, but our local tele- project when,
phone company has classified Herron said,
Stillwater as a Tier 3 city,meaning it's "the local tele-
fairly low on the list of cities considered phone com-
for upgrades to fiber optics. The local pany began to
telephone company considers Stillwater resist this idea." Stillwater Electric Utility crew members mount the fiber-packed cables on one of
too small,with too few potential users, The company hundreds of poles throughout the city.The$2.7 million fiber optic network is
to justify the expense involved in pro- questioned the expected to be completed this fall.Paulo by erBeetaee oolse,okwoma municipal League
viding fiber optics here." group's design,
So these techies jointly planned a so the city's trustees had it reviewed strength in numbers approach also
fiber optics system that they could by an outside consultant. The con- gave the alliance a stronger case when
build and operate independently, sultantfound nothing wrong with the searching for a telecommunications
much as small-town residents estab- plan, but suggested some upgrades company to partner with in building
lished their own electric utilitieswhen and changes that increased capabili- and running the fiber optic system.
the investor-owned electric utilities ties and raised the total cost to about "The city decided early on that we
proved uninterested in serving them. $680,000. didn't have the capabilities to operate
Unfortunately, Herron said, "the sys- The telephone company's attempt a telecommunications company,"
tem we devised would have cost $35 to negotiate separate long-term con- Herron said. "We needed a partner.
million to build. We presented the tracts for telephone service with indi- We received proposals from several
plan to the city but it was shelved due vidual governmental entities resulted firms, including our local telephone
to the cost. But we did keep all our in all those government departments, company, and in the end, the city
data and designs." theschoolsand other businessesjoin- awarded the contract to Chickasaw
That information became veryvalu- ing forces in the Stillwater Fiber Op- Holding Co."
able a year later, when the Stillwater tic Alliance, and informing the tele- An Oklahoma-based telecommuni-
school board approved a plan to net- phone company that the alliance cations firm already certified to pro-
work all of the system's schools and members would only negotiate for vide telephone service in the state,
facilities. At the same time, the services as a single entity. This (continued on page 5)
Public Power Weekly August 23,1999
Stillwater builds high-speed communications system
(continued from page 4) Herron said.Oklahoma State Univer- capacity, but if we had to pay fees for
Chickasaw Telecom, as it is known,is sity promotes itself as a high tech that usage,it would be very expensive.
a smaller,growing company willing to center. "Thais helped to spawn a lot "And don't forget that the utility
work with the alliance and the city to of businesses that are involved in the system has value you can use in nego-
create a showcase fiber optics systems. telecommunications and computer tiating.The utility owns the poles and
Herron said, "This is a great win-win technology business, and of course, has the right-of-way that telecommu-
situation forStillwaterandChickasaw. we also have students,faculty and oth- nications companies need. And the
ers living here.Stillwater really needs public power utility has personnelwho
this kind of service and our citizens can probably run that overhead fiber
_ more quickly and inexpensively than
will be eager to sign on."
Herron believes a public power util- the partner can."
f ' ity can learn several important lessons Herron said, "A successful partner-
from Stillwater's experience. "First, ship like ours depends on both partners
startby discussingyour ideas with your capitalizing on their own strengths.We
local service providers—cable TV,tele- can run lines and provide right of way;
phone, etc. They may have plans to Chickasaw knows how to run a telecom-
upgrade or change their systems that munications company- The public
make it possible for you to work to- power utility has avoided the political
gether. If you decide to go forward problems of going directly into operat-
with your own plans, find a partner ing a telecommunications system, and
Journeyman Wait Lynch,right,assists rather than awarding a franchise;this Stillwater will have a true,21st century
journeyman Bill Kennedy as teams work to string can really change the mindset of ev- network."
56 miles of cable In Stillwater. eryone involved. Don't be afraid to Herron presented a paper with a de
detail the services you wani, or to ask tailed discussion of his city's successful
The utility has agreed topay$580,000, for services free of charge. The alli- effort at the APPA national conference
including up to $125,000 in services, ance here in Stillwater will use a very in Salt Lake City,Utah, in June.
while the school system will provide small portion of the system's total
about$100,000 in cash and services to
Chickasaw to construct the system. 9 III I
Once the system is up and running, 6
Chickasaw agreed to return to the city p
5% of its gross revenues for the first
three years, and 7% of its gross rev-
enues for the following seven years.
Alliance members also will receive
telephone services at rates at least 5%
lower than our current telephone
rates.And to top it all off,the prices of
equipment and the technology have
dropped, so the system Chickasaw is
installing will be about 10 times faster
than we had originally planned.We've
estimated that the services that the
public power utility will receive at no
charge have a value of about$882,000
over the 10-year contract period; the
school system will receive services
worth about$650,000." - s
The attraction for Chicksaw,Herron
says, lies in the potential for signifi-
cant profits by providing services rang-
ing from cable television to PCS tele- Each cable contains anywhere from 24 to 276 single-made fibers.Stillwater crews leave a coil of cable
phones and Internet access to at a point where Chickasaw crews will create a future splice to another cable.Photos by Michelson oaten,
Stillwater's businesses and residents. Whoem&Mnnlelpst teayne
And that potential is enormous,
CNET.com - News - Communications -Telecom revolution in the heartland Paee i of 4
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nick heret
Telecom revolution in the heartland FREE EMAILI
By John Borland
Staff Writer, CNET News.com
February 22, 1999, 1:00 p.m. PT Latest headlines
—.201111110 In the heart of Iowa's farming country, the citizens of a tiny town display on desktop
called Hawarden are helping lead a rural communications- revolt.
Enterprise
With a o ulation of lust 2.500.the town has built a fiber optic network Computing
f I t i ive its citizens communications services as modern as Sun releases
9 complete chip design
anything in the heart of Silicon Valley. for free
In the process, Hawarden officials have earned the political enmity of Dell chasing Apple's
state telecommunications giants fide UT one ua vvesc, who nave wireless plans
soughto limita own s ability o o er a ep one an nternal
services over the new system.
Communications
But last week--on the same day that federal regulators approved New networking
AT&T's merger with Tele-Communications Incorporated--the town features dress
won a state Supreme Court battle that finally will allow it to turn on its Windows 2000
own telephone and high-speed Net services.
Qualcomm looks to
mob
The decision also sets the stage for nearly 50 other Iowa towns that bulsine sde phone
have built their own communications infrastructure or are making
moves to do so, according to a state utility trade association.
ISP group lends
Meanwhile, Hawarden citizens are moving quickly to take advantage support to cable court
case
of their town's new telephone system,which is likely to start operating
by the end of next month.
Intel takes next steps
"We started takingorders Wednesday, and the response has been with computer
a P telephony
overwhelming;" said Tom Kane, Hawarden s superintendent of public
works. "People are so sick of waiting."
The Net
Global Net ratings
A do-it-yourself effort committee emerges
Hawarden is on the leading edge of a movement that is spreading from Munich summit
across Iowa, and has already taken root in other states such as
Indiana and Kentucky. Larger cities such as Tacoma, Washington,
Glasgow, Kentucky, and Ashland, Oregon, have already set up their Sam Donaldson to
own telecommunications services and are successfully competing host ABCNews.com
with companies like TCI and US West. show
Rural communities, in particular, have been driven by the slow pace of Microsoft to take
upgrades to cable TV systems, and the telephone companies' instant messaging
http://news.cnet.com/news/0-1004-200-339016.html 9/14/99
CNET.com - News - Communications - Telecom revolution in the heartland Pave 2 of 4
upgrades to cable TV systems, and the telephone companies'
reluctance to invest in sparsely populated areas. In Iowa alone, GTE wireless
has announced it is selling all of its local access lines, while US West
plans to sell about 50,000 of its 1 million lines. AOL to ask
stockholders for
"These are communities that want to survive and grow," said Bob share increase
Ma1n:Stre Haug, executive director of the Iowa Association of
goesec Municipal Utilities. "We're just not getting the kind of Developers split on
htgtrE
competitive services that are developing in other areas." proposed Web
►%specieLteature language standard
Haug said that 38 towns and cities across the state have voted to
approve entering the telecommunications business. Another dozen or Personal
so are making plans to follow suit. Technology
No new articles.
This doesn't necessarily mean that all will go as far as Hawarden in
building a new high-speed network, however. E-commerce
Critics say self-
"In some cases, after one of the towns has approved these regulation needs bite
referendums, the incumbent provider suddenly becomes interested in not bark
upgrading their own system," Haug said. "Some areas are moving
forward to ensure their citizens get good service,whether or not the PurchasePro.com
city does it itself." rewarded by IPO
Iowa cities so far are ahead of the telecom curve, but the trend is Services &
spreading across the country, said Madelyn Cafruny, communications Consulting
director for the American Public Power Association, a Washington SAP's CEO preaches
trade group for municipal utilities. nothing but Net at
conference-
"It's becoming a trend as communities look at telecommunications
becoming one of their infrastructure lifelines," Cafruny said.The SAP taps Tibco for
utilities serve both as a revenue source and a means to attract other online directory
tax-generating businesses to town, she and other observers noted.
Year 2000
Hawarden spent close to$4.5 million building its own municipal fiber Fed agencies still
loop system,which is designed to handle cable TV, voice, and high- lagging with Y2K
speed Internet services. fixes
The cable system has been operating a little more than a year, and Militaries join to
already has attracted about 850 of the town's roughly 1,000 monitor missile
subscribers away from TCI. Local telephone service was stalled after warnings
the big telephone companies challenged it in court, but last week's
court ruling will allow the town to start offering dial tone as soon as Did you miss a
connection agreements with outside providers are signed. day?
One Week View
High-speed Internet service is the last piece in the puzzle, and will be
offered in conjunction with the town's existing dial-up provider.
"People in town really support the new municipal utility,"said Tom ADVERTISEMENT
Kane, Hawarden's superintendent of public works. "They see it in the Get a New Job!
new library and swimming pool:'
at CNETs Career Center
The level of civic support seen in Hawarden is typical in other parts of Search for ajub now
the state. In Lorenz, another tiny town that turned on its own cable TV Email me job istings
system just last December, 515 people have already switched to the Our featured employer
city-owned system. That leaves barely 150 subscribers left with TCI,
and that number is still on its way down.
Lorenz, population 1,550, also plans to offer telephone and high-
speed Internet service though its cable infrastructure.
"We were not being offered the services we thought were needed to the town to continue to
prosper," said Chad Cleveland, the town's communications manager. "Neither one of our
incumbent telephone or cable TV companies were willing to make improvements in this town."
http://newS.cnet.com/news/0-1004-200-339016.html 9/14/99
CNET.com -News- Communications - Telecom revolution in the heartland Page 3 of 4
The wrong kind of competition?
The Iowa Telecommunications Association, a trade group that represents large companies such
as GTE and US West as well as the state's 150-plus smaller local phone companies, has been
the staunchest opponent of the municipal movement.
"We're opposed to government getting into competition with the private sector in any business,"
said Kent Jerome, the group's executive vice president.
The city groups, no matter how small, are starting with advantages over even the largest
companies, Jerome said.As municipal groups, they do not have to pay income or investment
taxes, he noted. The cities also are using their established electric power utilities to help pay for
the bonds that funded the telecommunications startup costs, he added.
"As an industry we're not afraid of competition. But without making sure that everyone is operating
from the same perspective with regards to taxes and cross-subsidization, how can we compete
equally?" he asked.
With the legal fight nearly over--the Iowa Telecommunications Association says it is still looking at
other legal options--the fight is now spilling over into the state legislature.
Both sides are pushing lawmakers to support their position. The municipal utility association is
backing a bill supporting cities'rights to offer telephone service.The telephone companies are
lobbying for a bill that would force the towns'utilities to pay new taxes and would bar them from_
using electric power revenue to help guarantee the bonds that finance the telecommunications
projects.
Those measures--which could dramatically cut into the towns'ability to offer communications
services—will likely be voted on by the Iowa legislature later this year.
Meanwhile, the large companies have at last started to make improvements in some of the rural
towns'infrastructure--though not in Harwarden, Kane said.
In Lorenz,TCI began upgrading its cable TV system shortly after the citizens voted to start their
own service.And if the plan for the AT&T merger goes as planned,the town may have two
separate high-speed cable Internet access options by the end of 2000 or 2001.
"Our neighboring communities are not seeing these benefits yet,"said Cleveland."But this is what
competition is supposed to be."
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Peter Holzrnelster
From: Brian Albert [briana@trekalliance.comj
Sent: Monday, June 21, 1999 12:38 PM
To: 'PeterHolzmeister@TDPUD.org'
Subject: High Speed access in Truckee....
Hi Peter-
My opinion on high speed access is common among those in my line of work.
It makes no sense that a gateway town like Truckee and the surrounding
communities aren't a higher priority on Pac Bell's priority list. As a
major tourist community, whose major pull is from Silicon Valley, we should
be on the same tier as them if for no other reason than to eliminate the
"Truckee has no digital lines" as an excuse to not invest money in our
economy. I realize we (most likely)will always be at the mercy of PacBell.
Is there anything the PUD's can do? 1 hope so. Although from my cubical it
looks like just a fatter David against PacBell's Goliath.
Thanks for your ear-
Brian Albert —
i
Peter Holzmelster
From: Billy Mahoney [billy@ozoney.com]
Sent: Monday, June 21, 1999 12:38 PM
To: PeterHolzmeister@TDPUD.org
Subject: internet access in truckee
In the recent mailer, it was written that you were the one to contact
about comments about internet access, etc. So, I would like to let you
know that I am
not pleased with what Truckee offers for internet access. In Tahoe
Donner, I am too far away from a pop, so I can't get local rate ISDN,
PacBell keeps pushing the availability of ADSL back. The phonelines are
garbage so no one can get a true 56k connection here.
That's all I have to say.
-bm.
1
Peter Holzmeister From: Scott Herzinger [scotthz@sierra.net]
Sent: Saturday, August 21, 1999 8:56 AM
To: PeterHolzmeister@TDPUD.org
Subject: telecommunications and fiber optic plans
Hi,
I was interested to read in a recent issue of The Sierra Sun that TDPUD
is considering plans for a fiber-optic telecommunications network for
Truckee. At the time of the article, the final decisions had not been
made.
I also read your Manager's Message in last Spring's Current Connection,
and would like to reply to your request for input.
Both my wife and I are very interested in having better Internet access.
We currently use one analog phone line for dial-up Internet access, and
one digital phone line (ISDN) for dedicated Internet access. Neither of
these is really satisfactory in terms of performance. In particular, _
ISDN is not a very good value compared with alternatives that are coming
online in other communities.
We have both professional and personal uses for the Internet. We spend a
minimum of 150 hours per month online, and would be able to get more
done if we had faster, more reliable access. Our professional success
depends on the reliability and speed of our Internet access.
What is the current status of TDPUD's plan for a fiber-optic network?
Will the three proposed loops be built this year? When will connections
to residential customer sites be available? Is any more information
available, e.g. technology overview? Will fiber be brought all the way
to the customer premises?
Thanks, and best regards,
Scott Herzinger& Robin Durnell
14649 Copenhagen Drive
Truckee, CA 96161-6637
i
Susan Crai
From: Tom Ballister[ballister@bigfoot.com]
Sent: Monday, September 27, 1999 11:39 AM
To: 'sun@tahoe.com'; Peter Holzmeister, Alan Harry; 'josephaugera@tdpud.org';
'ronhemig @tdpud.org'; 'jimmaass @tdpud.org'; 'bobjones@tdpud.org'; 'patsutton @tdpud.org'
Cc: christianh @ nebi,com'; 'rogerterneuzen @ aol.com'
Subject: Open Letter to the Sierera-Sun &TDPUD, RE: USA Media
I recently had an experience with USA Media with may be of interest to
the TDPUD as they continue their negotiations regarding the proposed
Fiber network for Truckee. I have been involved in the
telecommunications industry for over 25 years, beginning my career at
Bell Telephone Laboratories where I was part of the T1 Transmission
Systems Engineering group, and have subsequently helped to found several
successful telecom startups. I currently conduct a private consulting
practice from my home in Glenshire, and also serve as Chief Technical
Officer for EuroDirekt National Savings, located in Budapest, Hungary.
Glenshire has proven to be a perfectly marvelous location from a family
perspective. But unfortunately it is not the most connected location in
the world from a telecommunications services perspective. Because my own —
needs are expanding, I regularly sample local service providers to learn
what services may be in the works. These include Pacific Bell which is
deploying copper based Digital Subscriber Line (DSL) technology,the
cable companies who are deploying cable modem equipment, and companies
beginning to offer Wireless access services.
On Friday of last week I made a little call to my local cable provider
to get an update. The representative who answered the call didn't have
much detail but later that day I got a return call from someone named
Roger Terneuzen. Never heard of him, but was happy to have a call back.
As the call went on, however,things didn't go so well. My initial
question regarding service availability got the response, "We'll be
offering the service within 60 days." Then I asked if he knew what the
planned network throughput might be. He responded with something like
"We'll be offering the service in 60 days and we'll have more detail
then." Hmmm. That wasn't the answer I'd expected. Most companies
investing in new business services will fall all over themselves to tell
you about what wonderful things they're going to be able to do for you.
"Ok," I asked, "well is there anyone in your company who is involved
with the network planning that I might chat with?" "No," he responded,
"I'm the top guy here and we'll have your answer in 60 days when we
launch the service!". "But, " I pleaded, "usually when someone is
planning a service like this there is a serious engineering effort that
goes into planning the system well ahead of time. It maps out the
network topology, designs appropriate routing tables, knows what
equipment is being purchased, and has some sense of the transmission
throughput. For example, at what speed will you be connecting to your
upstream access provider?" "We'll be providing the service in 60
days!!," he answered.
Phooey. Something stinks here.
When I'm a customer expressing an interest in spending more money and
get a response like this, my comfort level gets as close to zero as it
possibly could. I don't know how to avoid conclusions like (a) the
company doesn't truly have customer needs as priority one, (b) has some
other agenda, (c) doesn't have confidence in its plan, (d) or just flat
doesn't have a real plan.
1
>From my perspective any of these reasons are ample ground for the TDPUD
to sit tight and examine alternatives. Time is on their side, I would
think. There is enormous investment being made in telecommunications
infrastructure by numerous companies. My understanding is that USA
Media's ownership is currently in the hands of what some describe as a
"broker"who is in the business of acquiring, repackaging, and flipping
as quickly as possible. Seems to me part of the repackaging exercise
going on here is for USA Media to be able to claim they have a long-term
business opportunity with TDPUD. WE don't need that claim, THEY do.
What we need is reliable telecommunications infrastructure. I
personally would be hard pressed to enter into a long-term agreement
with any entity whose history, stability, and long term business
objectives are not fully understood.
Best Regards,
Tom Ballister
+1 530 587 0358
ballister@bigfoot.com
z
S055e151e
02/15/1994 08:25 5305501510 SENCO COMPUTER SYS PAGE 01
` 13026 Stockhotm Way•Truekae,CA 96 1 61-6944
COMPUTER
Northam Caldornia: (630)550-0050
SYSTEMS, INC. Southen, Cali(urnia: (310)376-0845
FAX COVER SHEET
COPIES TO:
� 3a�
DATE: 11/30/99 PAGE I OF 1
TO: TDPUD Board of Directors
ATTN: Susan Craig FAX NO: 530-587-1189
FROM: Steve Nugent,SENCO Computer Systems, Inc.
PHONE: 530-550-0950 FAX: 530-550-1510
MESSAGE:
Dear Sirs:
We are new residents of Tahoe Donner living on Stockholm Way. We operate a small
computer software company in which we rely on connecting tc? Ottt t:ushlnirt's mutlruta
and to the internet to provide software support.
I have been following with interest the progress of the fiber optics backbone installation.
In the November 25 edition of the Sierra Sun,Director Pat Sutton is quoted as saying that
"PacBell is currently providing quality telephone and Internet services". From our
experience, nothing could be further from the truth. We arc lucky to be able to connect to
the Internet at 14,400 and even at that rate we encounter many errors and retransmissions.
When we connect to our client's modems, we get errors,retransmits, and disconnects all
of the time. When we send faxes, we almost always get the message"check accuracy of
transmitted pages"on our fax machine. We did not experience any of these problems at
our previous location near Nevada City. Several of our neighbors who use the Internet are
experiencing similar problems. I have called PacBell and they say that they cannot
guarantee any data rate above 2400 and that we should get DSL service. DSL service is
not available in our area and they do not know when it will be. If and when it is available,
it will be much more expensive. We do not need DSL, we just need adequate dial up
service.
As far as cable TV is concerned, we (and our neighbor)get extremely poor reception
much of the time, particularly on some of the upper channels. We have a very limited
channel selection and it is expensive.
Thanks— Stephen E. Nugent, Pres., 530-550-0950
Board of Directors -r
Truckee Donner Public Utility District
P. O. Box 309
Truckee, CA 96160-0309
RE: Fiber-optic cable
I am writing this to protest the entrance of the TDPUD into the
field of cable communications. My reasons follow:
1. It is illogical for a tax-exempt public agency to use
taxpayer's money to enter a business that competes with taxpaying
enterprises.
2. The TDPUD at one time considered entering the natural gas
business. We (the ratepayer) are fortunate that the District was
dissuaded from that endeavor. I can just imagine the fees that we
would be saddled with - and the lack of service!
3. The rates that the District charges for water and -
electricity are not competitive with neighboring utilities. Why
should we expect that cable service would be any different?
4. The service the District now performs is sub-standard in
that water mains are always breaking, especially in Tahoe Donner,
even after a major reconstruction program - by the same company
that originally installed them. Ditto the spotty electrical
service.Are we to expect any better in the cable business?
As with natural gas, the TDPUD knows little about fiber-optic
cable, and as such, can only lead to a financial boondoggle that
the ratepayer will be forced to pay.
I hope that the Directors will take these and other objections
into consideration when making its decision. To make speculative
financial decisions with taxpayer funds is contrary to your
fiduciary responsibilities.
Sincerely,
'R ( �
l�.ich�d T.� ngan �
13411 Solvang Way
Truckee, CA 96161
530\582-1618
29 Jan 2000
cc: Sierra Sun
Alan Harnj
From: Lin Zucconi [linz@snowcrest.net]
Sent: Thursday, February 03, 2000 5:54 PM
To: peterholzmeister@tdpud.org; alanharry@tdpud.org
Cc: linz@snowcrest.net
Subject: TDPUD and Data Communications
Dear Peter and Alan:
Thank you very much for calling me and asking me to come to the board meeting where the Ashland
electric rep spoke. I was glad to see the USA Media folks walking out looking so unhappy. I wanted to
tell Roger that we, the citizens of Truckee and users of TDPUD services were entitled to know now
just exactly when USA Media would have their 2 way fast data service installed. I'm sure he'd would
have just talk through his hat at us.
The real reason that I am writing is to pass onto you some thoughts I had about the future of data as
a utility service and to make some suggestions. Please do with what I say as you would with any free
advice! Also, I would be very glad to help you with speaking to the community or researching
possibilities about just what promise and potential there would be for a fully data connected-
community with very high access rates.
My suggestion, if you haven't already thought of it, is that I think it would be an excellent idea to have
heart-to-heart talks with key players from a significant selection of other small utility districts that have
attempted to move into data. It is important to talk with those that were successful as well as those
that weren't or who are having problems. This would be the best way for TDPUD to learn what works
and what doesn't and not to make perfectly avoidable mistakes. It would also be a good idea to go
see the physical installations and talk with the engineers at a selected few of the most successful
installations such as Ashland...see what they've actually installed and learn why they've chosen the
route they've taken. I've always found as an engineer that it was so much better to walk the field
installations than just talk to the scientists and engineers that did the work.
I've also thought of some of the future potential for high speed data communications and of some
approaches to take with local business.
First off, the hospital and local physicians should be really excited about this. The US military and
others have been developing remote medicine for some time. It is very important to the military to be
able to provide high tech primary care to fallen soldiers in the field. I'm sure you've seen stuff about
remote diagnosis, treatment and simple surgery performed by physicians long distance from the war
zone using satellite data communications to computer, diagnostic and physician-controlled robotic
surgical equipment (operated by someone like a medic or EMT) in the field. Tahoe Forest and the
Truckee area would be an excellent site for prototyping and trialling the transfer of such technology to
civilian use. The ski areas, ambulance, highway patrol, search and rescue services, even school
nurses, would be able to use this technology.
I am sure that private medical technology companies, such as HP, are working on this technology
and would like a small community with high bandwidth data services to trial their technology. Initial
trials could be set up initially in facilities where high speed hard-wired data communications could be
placed, such as ski patrol rooms.
Also, wired homes would mean that physicians could interview, examine via remote sensing medical
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equipment, and treat people in their homes. So when you've got a temperature of 103 and can't
safely get further than a room or two away from a toilet, you can still be treated by your physician and
order drugs for rapid delivery from a nearby pharmacy without leaving your house.
This technology is here now! I would expect that the federal and state governments would be
interested in partially funding trials of such systems within a community such as ours.
Also, we've got businesses in town and in nearby communities that would really benefit from high
speed 2 way data communications. There's the boat design shop in town that's doing an America's
Cup yacht. Wouldn't they benefit from being able to send to and interact with clients and suppliers in
real time on CAD designs? There are high tech start-ups in Incline Village and around Lake Tahoe
that might be enticed to move here. I'm sure you've heard that many multinational corporations
perform 24 hour design and engineering on software and many other artifacts. This requires high
speed data communications to allow transfer of large design files and real time management of the
configuration of the systems being designed and implemented. People working on these systems
would be able to live and work in Truckee. Their companies could open design shops here.
And I expect that within 10-20 years we'll see live 3-D holographic (as opposed to video)
conferencing and meetings. Just imagine how convenient it would be to visit with one's family in
Timbucktoo without having to go there! Such technology does not bode well for the airline
industry....people will then travel for pleasure (on US airlines? get real!) and not need to travel for
business. But our skies would become less crowded and hence safer.
And high tech home builders could be enticed to build fully wired and fitted-out high tech homes in
Truckee...
Wired schools and homes would mean that snow days could still be school days. Either government
or charitable foundation grants (if not profits from TDPUD operations) could be used to ensure that
every child had basic computer access at home.
Well, I think that I've said enough. Thank you for listening. As I said before, I really want to see
Truckee be one of the first communities to go with a big bang into the 21 st century. But in a way that
benefits us all! Anything that I can do to help, just let me know!
Thanks again,
Lin Zucconi
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