| Resource Type | Policy Brief |
| Author / Source | Trostle, Kienbaum, Andrews, Razafindrabe, Mitchell (ILSR) |
| Publication Date | May 2020 |
| Location | United States |
| Initiative Type | Policy, Program |
| Project Complexity | Advanced |
| Recommended For | Board, Staff, Community Organizations |
Estimated reading time: 15 minutes
Why This Matters for Rural Electric Co-ops
This is a strong independent case that the co-op fiber model can work, and it doubles as a check on whether a given co-op is even allowed to build. The Institute for Local Self-Reliance (ILSR) documents that more than 210 cooperatives nationwide offer gigabit service, with co-op fiber covering 82 percent of North Dakota and 53 percent of South Dakota by land area as standout examples.
The practical takeaway for a board is the policy landscape. Since 2017, some states have eased their restrictions on cooperative broadband or have passed laws to encourage it. Because that legal footing still varies from state to state, a co-op should confirm what its own state's law allows before spending on feasibility. Combined with the report's proof that the model works, that makes it a useful tool for an early, high-level board conversation.
Key Takeaways
| › | State law is the threshold question, so a co-op should confirm whether its state restricts or enables co-op broadband before spending on feasibility. |
| › | Co-ops already provide a large share of rural fiber, so the model is proven rather than experimental, which lowers a cautious board's perceived risk. |
| › | The report's funding recommendations, like simplifying applications and removing barriers, are useful talking points for co-op advocacy with state legislators. |
Implementation Considerations
- Cost or Funding Requirements: The model assumes federal and state grant support layered on co-op financing. The report recommends co-op-friendly funding-program design, which co-ops can advocate for.
- Regulatory or Governance Considerations: Legal authority to offer broadband varies by state, and some states restrict it. Confirming a co-op's legal footing is the first step before any feasibility work.
- Time-Sensitive Information: The data and state-by-state legal details date to 2020 and have changed since. Co-ops should confirm their current state law rather than rely on the report's snapshot.
Notable Examples
- Institute for Local Self-Reliance: Independent research nonprofit whose Community Broadband Networks initiative maps and documents cooperative fiber nationally and makes the policy case for the model.
Estimated reading time: 15 minutes
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