2015 Governor s Northern Wisconsin Economic Development Summit
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1 2015 Governor s Northern Wisconsin Economic Development Summit Wisconsin Broadband Strategy December 1, 2015
2 Session Agenda Dani Jones Wisconsin Economic Development Corporation David Cagigal Division of Enterprise Technology at Dept. of Administration Maria Alvarez-Stroud UWEX Broadband & E-Commerce Education Center Angie Dickison State Broadband Office at Public Service Commission Q & A 2
3 GIGABIT BUSINESS PARKS WSTA and WEDC: Public-Private Partnership
4 ALIGNING RESOURCES WITH NEEDS WEDC Division of Economic and Community Development Division of Entrepreneurship and Innovation Division of Business and Industry Development Division of International Business Development > > > > Prospering Businesses and Communities Entrepreneurial Spirit Specialized Industry Leadership Global Outlook
5 BID MISSION STATEMENT Leveraging industry leadership to accelerate growth and high quality jobs by advancing public/private partnerships for targeted, high impact initiatives in Wisconsin.
6 FROM CONCEPT TO REALIZATION Wisconsin State Telecommunications Association (WSTA) presented the concept to WEDC WSTA and WEDC collaboration: User-friendly Business parks, Industrial parks, TIF districts Clearly-defined area Fiber and Gig-capable infrastructure Ability to provide service within a reasonable amount of time Business park list created WSTA members identified the locations where they provide Gigabit service
7 GIGABIT BUSINESS PARKS WSTA members provide Gigabit service to over 130 locations: Purple 100Gbps Yellow 10Gbps Green 1Gbps
8 DETAILS 130+ sites with 1Gbps / 10Gbps / 100Gbps Each site: Site details: Name / Speed Available / Location / Community / County Provider details: Company Name Contact Name Phone Number Address/Web-site
9 HOW TO GET THERE LocateinWisconsin.com
10 OPENING PAGE
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14 WHAT S NEXT? AT&T working to identify business parks they serve Continued expansion to other providers Additional mapping for economic developers
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16 FOR MORE INFORMATION Dani Jones WEDC Sector Development Manager Bill Esbeck Executive Director
17 Major Programs STAR (State Transforming Agency Resources) - ERP INCREASE BROADBAND SERVICES & SPEED Secure The Enterprise Implement e-government Services (Portal) Consolidate And Optimize Infrastructure Enable Business Continuity 17
18 Broadband Strategy Governor s Top Priorities: Jobs, Jobs & More Jobs attract more businesses Workforce Development provide greater access to online training in job centers and libraries Education Reform access online e-books, e- curriculum, Learning Mgt. Systems with BYOD 24X7 Infrastructure Investment increase broadband infrastructure investments and deployments Lean Government increase self-service portal offerings 18
19 Broadband Strategy Engage telecommunication partners Develop a Unified Communications strategy Accommodate and integrate FirstNet requirements Establish a vision between current BCN state facilities (1,200+), schools (650+) and libraries (350+) Prioritize increases in bandwidth for STAR, EMR, EHR, etc. and other critical systems at DOC, DHS and other state facilities Recognize and identify related infrastructure investments required as a result of high speed broadband (i.e., customer premise equipment CPE, etc.) Increased bandwidth to all BCN libraries in 2014 Create new statewide communications RFP 19
20 Broadband Strategy 2014 BCN Spend - 2,100+ Locations: Schools & Libraries (900+) TEACH program (Federal e-rate & State USF) - $18M Technology for Educational Achievement State Offices (1,200+) Balance of BCN charges - $7M 20
21 Broadband Strategy Badger Converged Network (BCN) Contracts 2006 to to 10/31/2016 Extended in 2011 with Minimum Revenue Guarantee (MRG) MRG will be met 7/2015 Individual Case Basis (ICB) pricing interim successes Next Steps RFI complete RFP draft complete RFP final (Plan Release in April, 2015) Evaluate and select Contract negotiations 21
22 Broadband Strategy Guiding Principles Greater service/speeds Reduced costs Reliability Secure Future proof 22
23 Broadband Strategy New Contract Expectations: Monthly Recurring Charges (MRC) Lower rates with greater speeds CAPEX Minimal CAPEX required Significant fiber infrastructure installed over the years 93% of schools have fiber All BCN Libraries (350+) have fiber Eliminate State dedicated Core and aggregator network and use commercially available network Open Partnership 23
24 Broadband Strategy TEACH Statute Changes: Remove restriction of one school per district Remove funding by category 24
25 Broadband Strategy Demand Transparency for Providers Collaboration among UWEX, WEDC and PSC on business surveys Share one stop business applications (20,000/Yr.) Share existing fiber infrastructure for state facilities, schools and libraries Share school readiness Prioritize and leverage commercial, residential, state facilities, schools and libraries needs Reduce Speculative CAPEX Spend (Trenching) Through Better Planning 25
26 Broadband Strategy Wired for Success Through Public Private Partnerships: o Achieve Guiding Principles Greater service/speeds Reduced costs Better Reliability More Secure Future proof o Contribute to the Governor s Priorities Jobs, Jobs & More Jobs Workforce Development Education Reform Infrastructure Investment Lean Government 26
27 Catalyzing Community Change through Broadband UWEX Broadband & E-Commerce Education Center A Fluid and Critical 21 st Century Issue
28 Broadband What We Know Availability Adoption Utilization Utilization
29 UWEX County Economic Development Agents & Community Partners People make it happen!
30 Partnerships to figure it out Public and Private
31 Coordination, Education & Resources PSC/UWEX Broadband Resource Guide Broadband Policies & Regulations: A Beginning Roadmap Regional Broadband Boot Camps with Providers UWEX Broadband Adoption Advisory Board DNR/UWEX Collaboration
32 Rural E-Commerce Pilots 2: Pilots 6: Counties 15+: Industries 106: Trainees Lessons Learned: Wide range of knowledge Topics are relevant Pitch is accurate Trainers are good Hands-on is key Basic barriers to entry Group training + Consultation Training is Needed!
33 E-Commerce Training Results 77 businesses competed assessments - Ashland, Bayfield, Clark, Oneida, Vilas, Wood 84% under 10 employees - 21% in Retail Trade Average DEi of 5.3 typical rural average is 6.4 (AR/KS/NC/NE; under 50 employees) Expertise issues are critical barriers for 30% and challenging for another 30-40% Utilization vs. AR/KS/NC/NE rural SME 74% have a website (vs. 77%) 45% sell online (vs. 56%) 56% do emarketing (vs. 62%) 55% do online customer service (vs. 66%) 35% use online collaboration (vs. 59%) Average DEi Score is 5.3 Very Important Barriers vs. AR/KS/NC/NE SME 40% lack expertise (vs. 19%) 30% security concerns (vs. 41%) 22% privacy concerns (vs. 30%) 20% cost of development (vs. 18%) 18% products not suited (vs. 15%)
34 This is a very valuable topic and is just what we need in rural Wisconsin.
35 State Broadband Office Broadband Expansion Grant Program o Create an incentive to foster private broadband investment and expansion o Support local-based initiatives o Leverage the use of funds from federal broadband programs 35
36 State Broadband Office o 2016 Broadband Expansion Grant Program o Annual appropriation to fund is $1.5 million o 28 Applications requesting over $4.4 million o Overview of Grants awarded 36
37 State Broadband Office Questions? 37
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