Presentation Begins at 2:30 Best Viewed By Screen Resolution 1024 X 768 Audio available only by Telephone 1-800-341-3088 Conference ID 9458#

Presentation Begins at 2:30Best Viewed By Screen Resolution 1024 X 768

Audio available only by Telephone

1-800-341-3088 Conference ID 9458#

Advanced Telecom and Broadband Deployment In Arizona

Arizona Telecommunications and Information Council

Communications Infrastructure Advisory Committee, Governor’s Council On Innovation and Technology


Thanks To iLinc Communications

Provider of Audio and Web Conferencing for the Arizona Telecom Summit 2007


Agenda Welcome – John Kelly, Moderator

Thanks and Introduction Of iLinc Communications

Purpose of the Summit

Participants, Hosts, Sponsors

Welcome and ATIC Introduction – Mike Keeling, ATIC Chair

Welcome and CIAC Introduction – Galen Updike representing Chris Cummiskey, Chair, CIAC

The Summit Overview – Steve Peters, Summit Coordinator

Telecom in Arizona: Status and Initiatives - Mike Keeling, ATIC Chair, and Ron Schott, Arizona Technology Council

Arizona Telecom Legislation – Mike Keeling


Living In The Networked World

Wired or wireless, with the proliferation of the Internet, mobile phones, communication devices, and wireless networks we are rapidly moving from a world of simple voice communication and isolated desktop computing to an interconnected world of networked communities and anytime/anywhere connectedness where everyone and everything is connected. The Network will operate everywhere, connecting people

and devices seamlessly.

(Living in a Networked World Report-Computer Systems Policy Project)


Purpose Of The Summit

Like water and roads, advanced telecommunications and broadband Internet services are critical infrastructure for Arizona communities

Many rural and other underserved communities lack the infrastructure to support deployment of these services

The purpose of the Summit is to accelerate deployment of these services to all Arizona communities

The plan is to explore options and leave the Summit with consensus on policies and implementation plans to remove barriers to the deployment of this critical infrastructure.


Participants Invited

Federal, state, local, and tribal elected officials and policy advisors

Chief Information Officers

Telecom service provider executives

Key stakeholder representatives (economic development, education, government, health services, public safety, libraries, homeland security, CIOs, etc)


Presented By Arizona Telecommunications and Information Council

Communications Infrastructure Advisory Committee to GCIT, the Governor’s Council on Innovation & Technology

In Cooperation With

Arizona Consumers Council

Arizona Association for Economic Development

Arizona Department of Commerce

Arizona Government Information Technology Agency

Arizona Small Business Association


Presented By

County Supervisor’s Association of Arizona

Arizona Technology Council

Arizona Telemedicine Program

eLearning System For Arizona Teachers and Students

Greater Arizona eLearning Association

League of Arizona Cities and Towns

Navajo Nation Telecommunications Regulatory Commission

Community Information and Telecommunications Alliance


Thanks to Our Sponsors

iLinc Communications

Salt River Project Telecom

Wi-Vod WIreless VOice and Data

Conterra Broadband

Others Pending


Summit Events Steve Peters, Summit Coordinator


Summit Events Pre and Post Briefing Documents on the Summit Web Site

Four Online Pre-Summit Briefing Sessions – Background information, technology overviews, updates on Arizona issues and initiatives, best practices, etc.

One day May 17 Summit event – Mesa Convention Center Keynote Presentations Planning and Policy Development Workshops (State Strategic

Telecom Plan, Funding mechanisms and strategies, Rights-of-Way access, Local community/Tribal planning and policies, Telecom provider requirements

Telecom/Technology Expo Arizona Technology Council After5 Reception, Showcase and

Networking Event


Arizona Telecommunications And Information Council

Michael Keeling, ATIC Chair



Non Profit 501(c)(6) organization engages in initiatives and guides adoption of public policies that enable access to advanced telecommunications services and information technologies

Public and private partners include:

Large and small businesses

Health care, economic development, consumer organizations

Libraries, educational institutions,

Arizona Corporation Commission and legislature, local and state government agencies

Information technology and telecommunications companies


ATIC Initiatives

Telecom Planning with CIAC

Strategy Committee

Cyber Security

Arizona Corporation Commission Debates

Arizona Telecommunications Directory

Homeland Security (DHS) I-19 First Responder Wi-Fi Grant

Arizona Telecom Roundtable (2005) and Arizona Telecom Summit 2007

Town Of Superior Initiative


Communications InfrastructureAdvisory Committee

Galen Updike, Telecommunications Manager, Government Information Technology Agency


Communications Infrastructure Advisory Committee

CIAC is a 21 member Public/Private Committee of the Governor’s Council on Innovation & Technology (GCIT)

Advises GCIT on policies and strategies to close the Digital Divide in Arizona

CIAC, in cooperation with ATIC, is charting a long-range roadmap and strategic plan to overcome barriers to statewide broadband deployment


Governor’ Council On Innovation and Technology

Governor's principal advisory group for innovation and technology charged with developing strategies to:

Enable Arizona to become a global leader in innovation and technology research, development and product creation

Strengthen the Arizona innovation and technology infrastructure (including telecom and capital formation)

Promote technology transfer and business/university partnerships

Create and retain quality jobs in Arizona


Telecom in ArizonaStatus and Initiatives



Critical InfrastructureIn our Networked World affordable broadband Internet and advanced telecommunications services are critical infrastructure to support:

• Community development

• Critical services such as police and fire

• Telemedicine and health care institutions

• eLearning for P-20 through life long learning

• eGovernment for improved citizen services

• Economic development including growing existing businesses and starting or attracting new businesses

• Estimated $8.5 Billion increase in GDP, $100 Million increase in revenue for State government, 11,500 new (mostly hi-tech) jobs*


What is Broadband

The FCC defines broadband as an Internet connection at a speed of 200 kilobits per second (kbps) in either direction (basic services).

In the Networked World this basic broadband service is no longer adequate to support services such as eCommerce, eHealth, eGovernment, and eLearning

ATIC and CIAC have recommended advanced broadband services providing a minimum of 1 Mbps


Status of Broadband In Arizona

Greater metropolitan areas have an increasing number of affordable basic (200 Kb) and advanced (1 Mbps +) broadband options

Many smaller and rural communities are under-served or have no broadband access. The majority of rural communities now have access to basic broadband last-mile services such as cable modem, DSL, or wireless. Of Arizona’s 225 communities of 500 population or more, 40 have no Broadband availability.

Many rural communities still lack consistent coverage of basic broadband services and they do not have the infrastructure to support advanced (1mps+) broadband deployment.


Status of Broadband In Arizona

As of 2006 20% of rural districts have schools with only Dial-up (56k) connection to the Internet

Of the rural communities that have services, many still face middle and last-mile deficits, experiencing much higher service costs, making it unaffordable to end users. In many where Broadband is available, the rates are 2 - 3 times more expensive than rates in Phoenix or Tucson.

An estimated 50% of Arizona citizens in rural communities and a half million in urban communities (totaling about 20% of the State’s population) do not have access to advanced broadband connections

Many rural communities also lack redundancy in order to maintain connectivity in the event of network failure


Barriers and Strategies

ATIC and CIAC have identified barriers to deployment of advanced telecommunications services and broadband Internet access to rural and under-served communities

ATIC and CIAC adopted ten strategy and policy recommendations to overcome these barriers.


Goals

Accelerate deployment of advanced telecommunications services and affordable broadband Internet access throughout the State.

Develop voice, video and data applications that ride over the infrastructure that will link the Arizona community and support education, economic and community development.

Develop strategies to Bridge the Digital Divide

Support tribes and local communities in development and implementation of technology infrastructure strategies and initiatives.


Strategy

The strategy is to remove barriers and develop public policies and market-driven strategies that will encourage competition, private-sector investment in, and rapid deployment of telecom services

Where no market-driven solution can be found, we need to identify ways in which communities and the State can “fill-in” the gaps.


Middle Mile

Interoperability

Redundancy

Infrastructure Development Deficits


Middle Mile

ATIC and CIAC have been focusing on deployment of redundant middle mile services

Two primary telecom services Last Mile and Middle Mile

Last Mile is the connection between the ISP and end user - businesses, homes, schools, etc.

The Middle Mile is the connections between local communities and the Internet backbone in the metropolitan areas such as

Phoenix and Tucson.


Middle Mile

If a common middle mile infrastructure is not available, at reasonable rates:

Communities may not be served

Communities or last mile providers must construct their own

Last mile costs and end users rates will be higher


Barriers to Broadband Deployment

Lack of Focus, Planning and Coordination

Return on Investment

Access to Rights-of-Way

Funding


Return on Investment: Requires a balance between deployment costs, affordable end user rates, and the length of time for the provider’s ROI (18 - 24 months)

Access to Rights-of-Way: Federal, tribal, state and local Rights-of-Way issues such as multiple jurisdiction permitting, delayed application approvals, and unequal and prohibitive fees

Planning and Coordination: There is no coordinated statewide strategy

We are not leveraging existing investments

Losing out on millions of federal dollars

Barriers To Middle Mile Deployment


Recommendations Establish a Telecommunications Infrastructure Advisory

Committee under the Governor’s Council on Innovation and Technology

Develop a Broadband Development Authority

Provide Focus, Planning and Coordination

Develop dedicated funding mechanisms and strategies such as an Arizona Broadband Universal Service Fund

Provide support for the development of a Statewide Telecom Strategic Plan that will enable the vision, framework and strategies for the deployment of a statewide telecom infrastructure.


Recommendations

Convene a series of regional and statewide Telecom Roundtables

Provide state support to identify potential funding sources and provide grant writing assistance to help fund state and local telecom infrastructure projects

Implement a strategy to facilitate increased use of the federal E-rate subsidies in the state

Provide ongoing funding for Community Telecommunications Assessments and Plans to identify community telecom assets, assess their needs, and develop and implement telecom infrastructure strategies and initiatives


Recommendations

Adopt an Arizona definition of Broadband to be a minimum of 1Mbps

Encourage access to local, state, federal and tribal rights-of-way

Monitor legislative actions to ensure that explicit or de facto barriers to municipal participation in Broadband deployment are eliminated.


Communications Infrastructure Advisory Committee

Ron Schott, Chair, CIAC Strategic Plan Committee


CIAC Four Priorities

State Strategic Telecom Plan

Arizona Broadband Development Authority

Leadership, Planning and Coordination

Funding mechanisms and strategies

Rights-of-Way access

Local community/Tribal planning and policies


Major CIAC Accomplishments

Coordinated the 2005 Statewide Network Request For Information (RFI) to better understand the requirements of telecom providers. Responses included barriers, issues, costs, relations between telecom providers, and community solutions

Adopted, and facilitated GCIT approval of, 11 strategy and policy recommendations that provide a framework for CIAC initiatives

Provided an ongoing nexus and forum for discussion of Arizona Broadband initiatives and policy (working closely with ATIC)

Created 3 CIAC Task Forces (State Strategic Plan, Rights-of-Way, Broadband Authority)

Supported Arizona Broadband Initiative Framework Report 2007 by Center for Digital Government - Funded by GITA and CEDC


Reports

Background Reports prepared by the GCIT Telecom Infrastructure Subcommittee (now CIAC)

2005 Statewide Network Request For Information (RFI)

CIAC 2006 Year in Review

Arizona Broadband Initiative Framework Report- Digital Government Funded by the Government Information Technology Agency and the Commerce and Economic Development Commission (CEDC)


Arizona Telecom Legislation



Arizona Legislation

eLearning System For Arizona Teachers and Students (eSATS) Legislation (Funding for Arizona to utilize and robustly embrace e-Learning best practices within K-12 Education)

ATIC’s SB1060 - Legislation to create an Arizona Broadband Authority and Broadband Universal Service Fund (ABUSF)

Public Financing for Telecom Infrastructure – Submitted by the Commerce and Economic Development Commission (CEDC) and Greater Arizona Development Authority (GADA) Legislation (supported by Commerce Department)


* Data Sources

Economic impact of Broadband deployment; in 2003 by Gartner Group; in 2003 by CEBR Ltd. - a British company; and in 2001 by Brookings Institute).

Center for a Sound Economy Report – Broadband deployment impact on Arizona - by Wayne T. Brough, Dec 2003)