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Diffusion Fund Enables Advanced Telecommunications for Disadvantaged Communities in New York State By B. Robert Piller Executive Director, Public Utility Law Project, and Vice Chair, Diffusion Fund Committee Plain Old Telephone Service (POTS) is no longer good enough for community-based organizations (CBOs). Voice-grade lines attached to 28.8K or 56K modems for Internet connectivity are the workplace equivalent of an electric typewriter several decades ago. To operate effectively and efficiently, CBOs need to empower their staff and the communities they serve with advanced telecommunications including interactive video. Role of Public Utility Law Project (PULP) PULP represents the interests of low-income and rural energy, utility and telecommunications consumers. For example, PULP designed and advocated for the Telephone Lifeline program that is now in place in New York State. Through this program, a low-income New Yorker can obtain a telephone line that costs everyone else at least $55, for $10 payable over 12 months, and basic measured service for $1 per month instead of the standard monthly charge of $10.10. Today about 750,000 New York households benefit from the Lifeline rate. More recently, PULP has focused on advanced connectivity for low-income communities and homes. New technologies threaten a new digital divide between those who can afford computers and connectivity and those who cannot. But if an advanced telecommunications backbone is deployed in every community, technologies that can operate over it will empower today's information have-nots, shrinking existing divides by leveling the capability to obtain knowledge. What the Diffusion Fund Is and Does In 1995, as a small element in a complex settlement of a huge regulatory case before the New York State Public Service Commission, NYNEX -- now Bell Atlantic -- set aside $50 million for advanced telecommunications in economically disadvantaged areas in New York State. The settlement created a Diffusion Fund Committee of 13 institutional members. I have filled PULP's seat and have been serving as Vice Chair. How much could be accomplished with $10 million a year for the many eligible disadvantaged communities? To my surprise, a lot. Thus far, the Diffusion Fund has helped design and fund a dozen projects, including: The Adirondack Area Network -- a 45-site Internet and Video over Frame Relay network covering about 20% of the geographic area of New York State, to serve public schools, healthcare providers, colleges and CBOs. DREAMNet (Dramatically Responsive Education, Arts and Medicine Network) -- a 66-site Internet and distance learning Multi-Channel Video Service broadband network for Central Harlem and the South Bronx, to serve public schools, CBOs and healthcare providers with connections to cultural, educational and technical resources. Buffalo City Net -- a smaller distance learning Multi-Channel Video Service broadband network to serve colleges, local government organizations and CBOs. With the seed funds and expertise provided by the Diffusion Fund process, projects can attract additional resources and extend connectivity to CBOs that were not part of the original networks. Once the advanced telecommunications backbone for these disadvantaged communities is in place, the incremental cost of extension to other CBOs is often affordable. Substantial NYC Project in Last Round of Funding The Diffusion Fund is now working with a group of finalists to design and fund an even larger, more powerful new network to offer a broad array of data, Internet and interactive video and voice services, covering most of the low-income communities in Brooklyn, the Bronx, Queens and Manhattan. Included are 250 partner sites -- public and parochial schools, libraries, child care and healthcare providers, and CBOs. The network will be able to connect to other sites as well. Universal Service funds under the Federal Telecommunications Act of 1996 will also be used. Once the backbone is built, its inherently large capacity will allow CBOs to join at an affordable cost. This may be a model for other projects. B. Robert Piller can be reached in care of the Public Utility Law Project, 90 State Street, Suite 601, Albany NY 12207, telephone(518) 449-3375, e-mail brpiller@pulpny.org; Web site www.pulpny.org. A Web site with information about the Diffusion Fund can be found at www.nysed.gov/otpad/diffus.htm. |
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