From Iowa Senate Democrats –
A 21st Century economy requires good access to the Internet and electronic information. For Iowa to thrive, we must increase access to broadband throughout the state.
Broadband– or high-speed Internet– is an educational and economic tool for Iowans and businesses. It is a building block for a high quality of life, but it isn’t available in all parts of the state. According to a survey from Connect Iowa, 71 percent of Iowa households have adopted broadband but only 47 percent can actually access broadband at high speed (50 Mbps). For low-income households, rural Iowans and senior citizens, access to high-speed Internet is even lower. About 23,000 businesses in Iowa are not using high-speed Internet services.
That’s why legislation is moving forward to expand broadband in Iowa. Senate File 461 encourages the expansion of high-speed Internet with property tax exemptions and a new grant program. Grants will go to communication service providers who make broadband available where it is needed most. In addition, the bill creates a new initiative for the installation of fiber whenever a state-funded construction project involves trenching roadway or alongside any state-owned infrastructure.
Isn’t this one of Branstad’s priority?
LVS, you are correct, it is one of his priorities, but unless these local providers get paid to build the “last mile to the customer,” as it is called, it is not profitable to them. These fiber builds can cost around $100,000 to $300,000 per mile, no help from government regulations.
The local providers can’t make a profit on it unless the Government pays for it. That means us, the taxpayers because the Government has no money until we send our money to them.