Want your town to join the Downeast Broadband Utility?
Sick of slow cable internet? So were we…
First you must understand how the network works. Downeast Broadband Utility (DBU) is a non-profit that is helping bring open access fiber internet to rural Maine. A town takes out a loan to build the internet infrastructure. When the infrastructure is complete - Internet Service Providers can operate on the town owned network.
Loans are paid by the subscribers, and hold impact to tax payers. When a subscriber pays their internet bill, a portion of that bill goes back to DBU to pay for the loan that was taken out for the infrastructure. Video below outlines how the network operates.
When seeking funding - We highly suggest that interested towns look into grants for helping with the infrastructure cost. These grants can cover a large part of your build cost.
For more information on grants please visit the Maine Connectivity Authority website.
https://www.maineconnectivity.org/
The Steps below are brief explanations on how to join the DBU…
Approval From Governing Body
Because the town must back the infrastructure loan - Any interested town needs approval from their governing body in order to join DBU. Towns will hold a community vote to determine whether or not to join the DBU. This will also help the town judge how many subscribers a town may get.
Assessment/Feasibility
If the town approves to join the utility, the next step is assessment/feasibility and cost estimate for the build. This is paid for by the town.
Grants/Loans
The town needs to secure a construction note through grants, loans, etc. to cover all related costs and the DBU will eventually assume this debt. As mentioned before - GRANTS play an important role in this process.
Board Approval
Finally, the DBU Board will have to unanimously vote to accept the interested town into the utility.
Cost to Join DBU
DBU requires a 10% payment of the build cost for a membership fee. This membership cost is designed to cover previously incurred legal and insurance fees by the charter members. This is only paid if both the town approves joining the DBU and the DBU approves the town joining.
What is next?
Once the above steps are completed - pole licenses and construction begins. Once the network construction is complete and testing has been successful - ISP's will offer service on the newly constructed network. The ISP pays DBU a fee for every subscriber in that specific town. That money is then used to pay the loan notes that were acquired to pay for the construction of the network.
For more information please email us at Denise.Barker@downeastbroadband.com