The Tennessee Legislature on Monday approved passage of the Tennessee Broadband Accessibility Act to bring Internet service to rural areas.
The Tennessee Telecommunications Association called it "a good first step toward making broadband available to more rural Tennesseans."
“This is a major step in the right direction,” said Levoy Knowles, executive director of TTA.
“As providers of high-speed broadband and fiber to a large portion of rural Tennessee, we know there are still places that need to get connected.
This is an issue that won’t be fixed overnight.
“But our members, both the independent companies and the cooperatives, are optimistic about working with the electric coops to make broadband available to many more rural Tennesseans.”
David Callis, executive vice president and general manager of TECA, said, “The Tennessee Electric Cooperative Association supports the Governor’s Broadband Accessibility Act. Expanded access to high-speed Internet in rural areas can have a profound impact on job creation, economic investment, education, and health care.
“Electric and telephone co-ops serve the state’s most rural and economically disadvantaged regions. The Governor’s legislation will now allow electric cooperatives to play a vital role in bringing broadband to these underserved areas.
“With our joint dedication and presence in these rural areas, electric and telephone cooperatives have a great opportunity to work together to meet this challenge.”
The Tennessee Broadband Accessibility Act is a signature piece of Governor Haslam’s 2017 legislative initiatives. It is aimed at promoting expansion of broadband into unserved rural areas. Some of the provisions:
· Allows electric coops to provide broadband service separately from their electric power service.
· Also permits the electric coops to provide video/cable TV service.
· Provides $30 million in grants and $15 million in tax breaks to encourage expansion of rural broadband into areas without access.
TTA represents 21 independent and cooperatively owned telecom cooperatives and independent companies that make high-speed broadband or fiber available to more than 136,000 rural Tennesseans. They have installed more than 12,000 miles of fiber in rural areas across the state.
Rep. Kent Calfee (R-Kingston) and Rep. Ron Travis (R-Dayton) sponsored the bill that they said "establishes reliable internet services for Tennesseans living in rural communities."
They said, "The bill expands broadband internet services across the state — especially to rural Tennessee communities that completely lack coverage — through business investment, deregulation and education.
"Coupled with the state budget, the legislation makes targeted investments through grants and tax credits that focus on the state’s underserved or unserved areas. It also permits the state’s private, nonprofit electric cooperatives to provide retail broadband service — something they have been completely unable to do in the past.
"Tennessee currently ranks 29th in the country for broadband access; thirteen percent of the state actually lacks accessibility to high speed internet. While only 2 percent of the state’s urban citizens lack access, 34 percent of rural residents per capita are without coverage, placing them at a distinct disadvantage over their city counterparts.
Rep. Travis said, “For several years, residents in my district have asked for access to reliable internet services. I’m pleased we are now able to provide a solution that meets their needs, thanks to the passage of the Tennessee Broadband Accessibility Act.”
“Rural communities are a critical component to the long-term success of our state’s economy,” said Rep. Calfee. “Access to reliable internet services will help these communities grow, which will provide an economic boost for our entire state.”
The full text of House Bill 529 can be accessed by visiting the Tennessee General Assembly website at: http://www.capitol.tn.gov/Bills/110/Bill/HB0529.pdf