Legislature(2021 - 2022)BELTZ 105 (TSBldg)
04/15/2021 03:30 PM Senate COMMUNITY & REGIONAL AFFAIRS
Note: the audio ![]()
and video ![]()
recordings are distinct records and are obtained from different sources. As such there may be key differences between the two. The audio recordings are captured by our records offices as the official record of the meeting and will have more accurate timestamps. Use the icons to switch between them.
| Audio | Topic |
|---|---|
| Start | |
| Presentation: Assessing the Present and Looking to the Future, What Are the Broadband Gaps in Alaska? | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
ALASKA STATE LEGISLATURE
SENATE COMMUNITY AND REGIONAL AFFAIRS STANDING COMMITTEE
April 15, 2021
3:32 p.m.
MEMBERS PRESENT
Senator Shelley Hughes, Chair
Senator Robert Myers, Vice Chair
Senator Lyman Hoffman
Senator Elvi Gray-Jackson
MEMBERS ABSENT
Senator David Wilson
COMMITTEE CALENDAR
PRESENTATION: ASSESSING THE PRESENT AND LOOKING TO THE FUTURE,
WHAT ARE THE BROADBAND GAPS IN ALASKA?
- HEARD
PREVIOUS COMMITTEE ACTION
No previous action to record
WITNESS REGISTER
JOHN BOUCHER, Interim Chief Information Technology Officer
Office of Information Technology
University of Alaska
Anchorage, Alaska
POSITION STATEMENT: Delivered a presentation titled "University
of Alaska Broadband Challenges and Opportunities."
CHAD STOVALL, Director of Programs
Denali Commission
Anchorage, Alaska
POSITION STATEMENT: Co-presented an Overview of Broadband in
Alaska.
ERIK O'BRIEN, Broadband Program Manager
Denali Commission
Anchorage, Alaska
POSITION STATEMENT: Co-presented an Overview of Broadband in
Alaska.
CHRISTINE O'CONNOR, Executive Director
Alaska Telecom Association
Anchorage, Alaska
POSITION STATEMENT: Delivered a presentation titled "State of
Broadband in Alaska."
LESIL MCGUIRE
OneWeb
Anchorage, Alaska
POSITION STATEMENT: Provided an update on OneWeb during the
hearing on Broadband access in Alaska.
SHAWN WILLIAMS, Vice President of
Government Affairs and Strategy
Pacific Dataport, Inc.
Anchorage, Alaska
POSITION STATEMENT: Delivered a presentation on Pacific Dataport
broadband projects in rural Alaska.
PATRICIA COOPER, Vice President of Satellite Government Affairs
Space Exploration Technology Corporation (SpaceX)
Hawthorne, California
POSITION STATEMENT: Delivered a presentation on the Starlink
Program.
ACTION NARRATIVE
3:32:29 PM
CHAIR SHELLEY HUGHES called the Senate Community and Regional
Affairs Standing Committee meeting to order at 3:32 p.m. Present
at the call to order were Senators Gray-Jackson, Meyers,
Hoffman, and Chair Hughes.
^PRESENTATION: Assessing the Present and Looking to the Future,
What are the Broadband Gaps in Alaska?
PRESENTATION: Assessing the Present and Looking to the Future,
What are the Broadband Gaps in Alaska?
3:32:53 PM
CHAIR HUGHES announced the business before the committee would
be presentations relating to assessing broadband gaps in Alaska
now and into the future. She said broadband access is an
important topic because it affects almost every aspect of life
in Alaska from the economy to health care to education to where
people can live and work in the state. Access is very good in
some areas and not so good in others and it is important for the
legislature to understand that. She listed the order of the
presentations.
3:35:40 PM
JOHN BOUCHER, Interim Chief Information Technology Officer,
Office of Information Technology, University of Alaska,
Anchorage, Alaska, presented a PowerPoint titled "University of
Alaska Broadband Challenges and Opportunities."
MR. BOUCHER reviewed the agenda on slide 2 that read as follows:
• Overview of the Office of Information Technology
(OIT) role at the University of Alaska in regards
to broadband
• UA's service footprint, how it can differ by
location, and how that may influence the student
experience
• Opportunities for the improvement of UA's current
delivery of bandwidth
MR. BOUCHER displayed the map on slide 3 that delineates the
locations throughout Alaska where OIT provides bandwidth for UA.
He explained that OIT purchases connectivity from available
venders for the university campuses in Anchorage (UAA),
Fairbanks (UAF), and Juneau (UAS) and additionally provides
access for the 13 community campuses and colleges throughout the
state. OIT also helps support connectivity in some remote
research stations and mobile work stations such as the floating
research vessel Sikuliaq.
He highlighted that the UA perspective of broadband is primarily
as a consumer in a variety of settings from urban campuses to
regional hubs to rural and remote research settings. He said
this important tool enables the university to deliver high
quality education and research to Alaskans and the world at the
lowest possible effective cost.
3:38:55 PM
MR. BOUCHER provided some background. He related that in 2015,
the FCC defined "broadband" as a minimum of 25 megabits per
second (Mbps) download and a minimum of 3 Mbps upload, sometimes
called 25/3. He pointed out that the definition was on a per
household basis, not a facility basis that may have far more
individuals using the service than the average household. He
noted that the 25 Mbps download speed matches the target goal
for the Alaska School Broadband Assistance Grant (BAG) program.
MR. BOUCHER mentioned that resource constraints make it
difficult to purchase significant connectivity speeds in rural
locations and said it affects the students' experiences.
3:41:08 PM
CHAIR HUGHES asked him to pick up the pace so as to not
shortchange subsequent presenters.
3:41:19 PM
MR. BOUCHER paraphrased the broadband limitations on UA campuses
listed on slide 5 that read as follows:
• Current bandwidth provisioning at low bandwidth
locations can translate into limitations for the
delivery of digital content
• For example, it's challenging to deliver rich
learning content that relies upon a substantial
Internet connection
• Some services are difficult to deliver due to
limited bandwidth (live streaming, interactive
content)
• Limits UA ability to fully leverage a recent
federal grant (750K) to its fullest extent
He summarized that low bandwidth capacity limits the
university's available tools, particularly at its rural
campuses.
3:42:16 PM
MR. BOUCHER paraphrased the list on slide 6 of challenges and
costs associated with insufficient bandwidth. It read as follow:
• Due to cost structures in rural areas, meaningful
capacity is cost prohibitive
• High cost creates capacity imbalance between
rural and urban campuses
• Unlike K-12, institutions of higher education are
not eligible for federal E-rate funding at a
subsidized rate of 50-90%
• UA would like to explore the possibility of a 25
megabits per second minimum - similar to what K-
12 has standardized on but resources are a
challenge
3:43:16 PM
MR. BOUCHER stated that UA is working to reduce the high cost of
connectivity in rural locations. He noted that the opportunity
for federal funding in low bandwidth areas is growing. He noted
that the university recently agreed to chair the Connecting
Minority Communities Pilot Program to ensure that UA's rural
campus needs are considered. UA has also been monitoring and
enquiring about new services including satellite delivery that
are expected to be available very soon in low bandwidth areas.
He said these new technologies offer the potential for game-
changing opportunities and UA is willing to participate in pilot
programs as they unfold.
3:45:02 PM
CHAIR HUGHES suggested that members hold their questions until
after the last presentation. She thanked Mr. Boucher and
recognized Mr. Stovall and Mr. O'BRIEN with the Denali
Commission.
3:45:55 PM
CHAD STOVALL, Director of Programs, Denali Commission,
Anchorage, Alaska, stated that the Denali Commission currently
manages a $1 billion portfolio and operates on a $15 million
annual appropriation. Providing some history, he explained that
the Denali Commission was established by Congress in 1998. It is
one of four regional commissions; it was modeled after the
Appalachian Regional Commission that was established in 1965.
The Denali Commission is overseen by a board of commissioners
each of whom have a vested interest in Alaska's growth and
development. It was designed to share parity with the State of
Alaska regarding its development goals.
The Commission is unique among the regional commissions because
it has just one service area and it encompasses the entire
state. This allows the commission to focus exclusively on
Alaska's interests as opposed to having to handle multiple
states. Second, in addition to the federal co-chair, the
commission has a state co-chair who represents the governor. The
relationship between the co-chairs allows the commission to work
strategically with the state government in Alaska's critical
development.
MR. STOVALL said that after 23 years the Denali Commission still
adheres to the founding mission to oversee the most efficient
and effective delivery of resources to rural Alaska. The
commission has undergone changes in size, staff, and funding and
as it continues to adapt to changes, the board continually
evaluates and ensures that the agency is appropriately
celebrated. This is done based on changing needs, conditions,
and data. Recent efforts have been based on the 2018 strategic
plan which emphasized coordination and the ability to complement
partners across the state. The strategic plan helped lay the
groundwork to broaden opportunities and make significant program
changes to the FY2020 program budget. This was done through the
introduction of new funding categories to the working plan for
the agency.
3:48:37 PM
MR. STOVALL related that the categories were economic
development, workforce development, housing, medical facilities,
and broadband. The commission has had broadband as a high
priority on its agenda since 2019. Through close coordination
with multiple partners, the commission was able to host a series
of meetings regarding rural electric internet connectivity in
August 2019. Attending those meetings from Washington, D.C. was
USDA rural utility service administrator Chad Rupe. He was able
to engage with Alaska stakeholders over several days and left
with an appreciation of the unique challenges the state faces
with respect to broadband.
He said coordinating and opening up these discussions with local
partners assisted in removing barriers to Alaska's funding
request that competed in the 2020 USDA rural development
reconnect competition. From a high level, the federal government
has been making efforts to deliver better broadband service and
connectivity to rural areas for the last several years. NTIA has
accelerated that to almost a warp speed. Unprecedented levels of
federal broadband funds are making their way through the federal
process and many federal stakeholders are stepping up and
assisting in directing as much of this funding to rural Alaska
as possible. Since the start of COVID, a core group of federal
partners has come together in an all-hands-on-deck effort,
likewise with the state. They have been a tremendous resource in
assisting the commission in broadband wins across the state for
the last year. The commission has been fortunate to have strong
partners to help it work on strategic broadband development
around the state.
Last, he said the tip of the spear for the Denali Commission is
the program managers. Shortly after the rural connectivity
meetings in 2019, the commission decided to commit further time
and resources to the broadband enhancement efforts around the
state by adding an additional staff member to manage the
broadband portfolio. That program manager was Eric O'Brien who
joined the commission from the Southwest Alaska Municipal
Conference. The commission feels fortunate to have him and he
has produced a number of results that he will talk about as part
of the strategic coordinated effort the commission has had
ongoing for the last year.
3:50:50 PM
ERIK O'BRIEN, Broadband Program Manager, Denali Commission,
Anchorage, Alaska, stated that he would provide an overview of
broadband or internet in Alaska. He displayed the map of the
state on slide 2 to highlight that the internet connects the
state. It is Alaska's critical infrastructure, which the
university refers to as the "middle mile." He explained that the
green lines represent the fiber corridors that have the highest
capacity. The blue lines identify the microwave corridors that
have less capacity. The communities that are not connected by
either green or blue lines have the least capacity. He clarified
that the illustration is not comprehensive. It is a snapshot and
a place to start the discussion, he said.
3:52:06 PM
MR. O'BRIEN discussed some of the ways the Denali Commission has
engaged with Broadband.
In 2010, a group of service providers, nonprofits, elected and
public officials formed the Alaska Broadband Taskforce with
support of the quasi-governmental body to connect Alaska. The
National Telecommunications and Information Administration
(NTIA) provided the funding and had the stated goal of providing
100 megabytes (MB) of service to every household in Alaska by
2020. While this ambitious goal was not achieved, the effort was
successful in shining an important light on broadband.
The 2014 Alaska Broadband Plan provided recommendations,
infrastructure needs, cost estimates, and case studies.
In 2019, the Denali Commission funded an update to the Alaska
Broadband Plan with the narrow focus of ensuring that Alaska
applicants were eligible for all possible points in the USDA
reconnect program. After successfully commissioning and
completing the update and working with the governor's office and
service providers in time for the December 2019 Reconnect II
grant announcement for $600 million, the commission can look
back on the success of that endeavor with eight submitted
applications, six successful projects, a seventh pending review,
and total federal investment of more than $80 million in Alaska.
MR. O'BRIEN said the commission's updated broadband plan showed
the value of the public private partnerships to meet these
critical infrastructure needs.
3:53:40 PM
MR. O'BRIEN pointed to the infrastructure map to highlight the
challenges of serving Alaska's vast geography with its small
population. He pointed out that the service providers are
companies that have made substantial investments in Alaska. He
commended them and said the value of the public private
partnership is well understood. The central programs are from
the FCC, the USDA Reconnect, USDA Community Connect, Distance
Learning & Telemedicine, the NTIA Tribal Broadband grants, and
other Stimulus and Infrastructure projects. He said the point he
was highlighting was to identify the roles and partnerships
required to meet the challenges around broadband in Alaska. HE
SAID YOU KNOW THAT BETTER THAN MOST BUT HE WANTED TO LAY THE
GROUNDWORK.
3:54:31 PM
MR. O'BRIEN reported that the NTIA currently is preparing a $1.6
billion grant to fund tribal broadband projects in Alaska under
three programs. These are 1) serving minority communities for
workforce development and training ($285mm); 2) tribal broadband
to connect tribal communities ($1B); and 3) state broadband
infrastructure ($300mm). He noted that the tribal focus of these
programs may be especially valuable to Alaska with it 229
tribes. This is about 40 percent of the tribes nationwide but a
lessor percentage of the population nationwide. Nevertheless, he
said that Alaska tribes represent a substantial underserved
population given the challenges outlined here. He said $1.6
billion is a large number but not compared to the national need
for tribal broadband funding. Alaska has some of the greatest
need for broadband in the country and it is imperative that
Alaska tribes beginning planning now to maximize their eligible
allocation.
MR. O'BRIEN said the NTIA grants have not been announced but he
believes that the Denali Commission's accomplishments over the
last 18 months demonstrate how it could provide critical support
in helping Alaska's tribes.
3:55:46 PM
MR. O'BRIEN recounted the following Denali Commission
accomplishments: First, through close coordination with the
USDA, the commission identified the potential problem of not
having a broadband plan and the negative implications that had
for the Reconnect Funding. With prompt action, the revised plan
was released within three months and a partnership with service
providers and the governor's office. He reminded the committee
that this resulted in over $80 million in federal investments
across eight application for important infrastructure projects
across Alaska.
Second, through close coordination with the FCC, the Denali
Commission identified important opportunity for Alaska tribes to
receive a dedicated license to access valuable wireless spectrum
capable of providing cellular, fixed wireless, emergency
response, and other services that have yet to be identified. The
commission started strong with this program with workshops
scheduled throughout the state, the first of which was with
tribes in the Tlingit/Haida region of Southeast Alaska. All 17
tribes, private companies, and leadership from the FCC attended.
The onset of the coronavirus stopped additional workshops but
the commission continued to reach out and stayed in contact with
the FCC.
3:56:55 PM
MR. O'BRIEN related that with the July deadline looming, only 12
tribes had applied for their license. With an 11th hour award,
the commission funded a dedicated outreach program that helped
10 tribes receive their license in the last week of July. That
is almost as much as all the tribes that had been signed up in
the first six months of the program. The day before the
deadline, the FCC bureau chief extended the national deadline
one month and Alaska took advantage signing up 180 tribes of the
229 and 95 percent of the eligible land. Essentially everything
outside of the urban centers.
3:57:35 PM
Third, through close coordination with federal partners at USDA,
the commission worked with Alaska communities to provide
technical assistance for the Community Connect Program, which
doubled the previous record of Alaska applications for this
particular grant.
MR. O'BRIEN concluded the presentation stating that the Denali
Commission would maintain its commitment and mission to
facilitate services of the federal government to deliver
infrastructure and economic opportunity for all of rural Alaska.
CHAIR HUGHES thanked the presenters and recognized Christine
O'Connor with the Alaska Telecom Association.
3:58:53 PM
CHRISTINE O'CONNOR, Executive Director, Alaska Telecom
Association, Anchorage, Alaska, stated her overview of the state
of broadband in Alaska would look at statewide networks with a
focus on the middle mile - how various technologies fit in that
landscape, and the opportunities to expand and accelerate the
expansion of broadband.
She directed attention to the names and logos on slide 2 of the
Alaska-based companies that provide landline and wireless
broadband service throughout Alaska. She related that ATA has
been supporting its member companies in connecting Alaskans
since it was formed in 1949.
MS. O'CONNOR advised that she looks at broadband infrastructure
as last mile and middle mile. Last mile is the connection from
the internet service provider to a home or business. Over the
last several years, nearly 50,000 locations have been upgraded
or have newly deployed broadband. A small sample of recent last
mile projects include:
• Alaska Communications brought high speed internet to
16,000 rural Alaska residents with plans to double
that in the next couple of years.
• Alaska Power and Telephone completed high speed
deployment in Tok and Southeast.
• Copper Valley Telecom completed a 25/3 broadband Fiber
to the Home Project in the Native village of Tatitlek.
• GCI has increased wireless speeds in Dillingham and
nearby communities the last several years, including
construction of towers.
3:59:28 PM
MS. O'CONNOR explained that the middle mile is what connects the
last mile to the internet service provider. Alaska's middle mile
is a combination of technologies. There are thousands of miles
of fiber middle mile. It is the gold standard. It allows huge
capacity and very fast speeds. Fiber is the best option when it
is available. Alaska also has microwave networks that extend
hundreds of miles and allow delivery of high speed broadband.
This has been transformational in huge parts of Alaska. The
middle mile also includes satellite connection. Today there are
multiple geosynchronous satellite providers serving Alaska. She
noted that more satellite capacity is expected over Alaska in
the coming year.
4:02:09 PM
MS. O'CONNER emphasized that the middle mile in Alaska is unique
compared to the Lower 48. She said counterparts outside rarely
need to consider how they will get a middle mile connection or
how much it will cost. Access to fiber backbone connection is
nearly ubiquitous. It is a non-issue in most places down south,
but in Alaska there are large gaps where the only middle mile
connection is satellite, which are more limited in capacity,
often have latency issues, and can suffer from interference. She
directed attention to the middle mile infrastructure map of
Alaska in 2010 with undersea cables connected to the Lower 48
and a limited amount of microwave capacity. By comparison, the
broadband and satellite middle mile infrastructure in 2020
reflects the massive investment in middle mile over the last
decade. There is new connectivity along the northern coast,
expanded microwave networks in the southwest northwest and
southeast, new fiber running up the Dalton Highway, and the
first terrestrial subsea links into Canada.
MS. O'CONNOR described the following new middle mile projects:
• Alaska Power and Telephone laid an undersea cable
between Juneau, Haines, and Skagway and they doubled
the capacity of the microwave network between Juneau
and Ketchikan.
• Cordova Telecom expanded its microwave network in
Prince William Sound.
• GCI completed a multiyear equipment upgrade and added
capacity at 24 microwave sites in Western Alaska.
• KPU Telecom completed the first undersea cable to
Canada connecting to their fiber to the home network.
• Matanuska Telephone Association constructed the AlCan
ONE project, which was the first terrestrial fiber
connection from Alaska in to Canada.
• Nushagak Cooperative completed a major expansion of
their microwave network.
She highlighted that both the MTA and the KPU projects are
providing new routes from Alaska to the Lower 48. This expands
the capacity of networks in Alaska and provides geographic
diversity in the event of disaster or accident.
4:04:38 PM
MS. O'CONNOR gave a shout out to the USDA for the ReConnect
Program that makes major infrastructure projects viable. She
directed attention to the list of communities that will all
receive broadband service over the next couple of construction
seasons. The communities listed were Akutan, Brevig Mission,
Caswell, Chignik, Coffman Cove, Kaktovik, Kasaan, King Cove,
Larsen Bay, Prince of Wales Island, Sand Point, Teller,
Unalaska, and Yakutat. She noted that nearby communities will
also be connected thanks to the ReConnect Program. She said
these grants require significant investment from the applicants
and significant community support so being awarded these grants
is really a testament to both the support from these communities
and the company's commitment to invest in the application
without knowing they would get the award.
4:06:15 PM
MS. O'CONNOR said that despite tremendous progress in building
broadband networks, the work is not finished. The question is
how to accomplish ubiquitous and sustainable broadband networks
for all Alaska. They not only have to be built but also
maintained. The question is how to put the pieces together for
the investment to serve the most remote communities, including
those with the smallest populations. It is a complex puzzle but
the pieces are working together now with investment from
Alaska's telecom community. In just the last four years, 18
member companies have invested over $1.2 billion in CapEx alone.
It is the investment in the last mile and middle mile
infrastructure that allows about 85 percent of Alaskans to
receive the FCC standard of 25/3 service and 80 percent are able
access 100 megabit service or faster. Second, it is critical to
have stable, predictable federal programs. Without this support,
broadband expansion does not happen. When federal programs adopt
stable rules paired with the requirements to deploy broadband
that is what participants in those programs do. The state has a
role too. Administrative order 310 directed the Department of
Transportation and Public Facilities and the Department of
Natural Resources to streamline their respective permitting for
broadband facilities deployment projects. This is important
because fee structures can either accelerate or impede broadband
deployment. Congress also has a large role. President Biden's
infrastructure proposal allocates $100 billion for broadband to
build future-proof networks, which means fiber. It is an
ambitious goal and ATA is eager for the details on this
opportunity to dramatically expand broadband networks and
connect all Alaskans.
4:08:52 PM
CHAIR HUGHES thanked Ms. O'Connor and recognized former Senator
Lesil McGuire with OneWeb.
4:09:20 PM
LESIL MCGUIRE, OneWeb, Anchorage, Alaska, provided an update on
OneWeb during the hearing on Broadband access in Alaska. She
stated that we are here today because rural Alaska has been left
behind. The digital revolution that has swept the earth has been
slow to reach Alaska, particularly rural Alaska. She emphasized
that participation in the global economy is impossible without
high speed broadband. Because of rural Alaska's low population
and distance from telecommunication infrastructure, high speed
broad has for the most part remained out of reach for private
and public sector investment.
She said exciting new technologies are bridging the digital
divide. OneWeb is helping to be one part of the solution. She
explained that OneWeb is the first licensed LEO spatial
constellation in existence. It was licensed by the FCC in 2017
and by the ITU in 2016. OneWeb is next generation satellite
technology that has launched 146 satellites to date putting in
place a global network that will complete coverage of Alaska and
the Arctic within the next two months.
MS. MCGUIRE highlighted that WebOne is the only LEO spatial
satellite company that has committed to all of Alaska. It is a
top focus. The goal is to bring connectivity to communities,
businesses, and governments. They are focusing on coverage in
Alaska first before moving to the rest of the globe. Service
will be available to Alaska beginning in late 2021.
4:11:35 PM
MS. MCGUIRE said that the satellites that OneWeb developed are
now the size of washing machines as opposed to school buses.
Placing them together in a constellation with seamless handshake
movement over the state provides the user a 5G like experience.
MS. MCGUIRE restated that OneWeb has launched 146 satellites and
will launch again April 25 and by the end of May expects to over
the entire state. Demonstration speeds have shown 40
milliseconds of latency up to 400 megabytes. There will be
demonstrations in Alaska in 2021 and her hope is to bring one to
Juneau next year.
MS. MCGUIRE turned to slide 5 and explained how OneWeb
connectivity works. The satellites are launched into polar orbit
and circumnavigate the earth in a continual handshake pattern.
They connect with gateways, one of which has been built in
Talkeetna in partnership with Pacific Dataport.
MS. MCGUIRE discussed OneWeb's commitment to sustainable growth
across Alaska. She stated that as the least connected state,
Alaska is physically and digitally separated from the contiguous
U.S. states. This means that internet technologies are not
equally available in Alaska. Despite being the largest state in
the country, Alaska has the lowest amount of broadband
infrastructure. She described OneWeb as a lifeline that can
deliver broadband in rural communities, overcoming geographical
barriers, helping to connect communities, government, and
businesses. She said OneWeb will deliver up to 200 times more
capacity to rural Alaska and the Arctic. Alaskans will enjoy the
benefits of freedom from less reliable options, faster speeds
enjoyed by many in the U.S., totally seamless web browsing and
video conferencing, connectivity at home like people enjoy in
Anchorage, a feeling like you are finally connected to the
world.
4:16:15 PM
MS. MCGUIRE displayed a picture of the Talkeetna Gateway Station
and restated OneWeb's commitment to Alaska first. She turned to
slide 9 that depicts services for fixed and mobility markets and
clarified that OneWeb is a wholesaler that works in conjunction
with existing local telecommunication companies who then sell to
the consumer. She recounted that OneWeb sells to enterprise,
maritime, aviation, education, cellular backhaul and government.
MS. MCGUIRE concluded the presentation summarizing that the
OneWeb experience offers freedom from less reliable options,
faster speeds, and seamless web browsing and video conferencing.
4:18:06 PM
CHAIR HUGHES thanked Ms. McGuire and recognized Shawn Williams
with Pacific Dataport.
4:18:36 PM
SHAWN WILLIAMS, Vice President of Government Affairs and
Strategy, Pacific Dataport, Inc., Anchorage, Alaska, reviewed
the agenda for the presentation starting with rural broadband in
Alaska today, followed by Pacific Dataport's projects, and then
a discussion of challenges and solutions.
MR. WILLIAMS described the three areas of funding for broadband
in rural Alaska today.
• Middle mile infrastructure (CapEx) - satellite,
fiber or microwave
• Last mile infrastructure (CapEx) - wireless
broadband, coax cable or fiber
• Last mile (user) subsidies (OpEx)
He explained that Alaska telecoms receive about $380 million in
telecom and broadband subsidies that can be used for middle mile
and last mile infrastructure. In addition to that federal money
are the ReConnect Grants that vary from year to year. He agreed
with the ATA assessment that the problem is the missing middle
mile, but noted that the other problem is that there is no
funding coming to Alaska dedicated only to middle mile.
4:20:22 PM
MR. WILLIAMS turned to slide 3 that outlines the cost of
broadband in rural Alaska today. He said the cost to build is
very expensive and he broke it out per mile for each kind of
middle mile connection. It costs about five times more than in
the Lower 48 to put in terrestrial fiber and microwave. Only PDI
will be able to deploy middle mile infrastructure that is
economical and results in affordable broadband statewide.
Telecoms and tribal entities can also use PDI's middle mile
sources (both the rural project and the OneWeb project) to
deliver affordable broadband anywhere in Alaska. He directed
attention to the chart of the projected cost per household for
the different networks. It shows that federal funding is helping
to pay for these very expensive projects. He noted that even the
Yakutat network breaks out to $92,592 for each of the 270
households. The calculation for each network is total cost
divided by the number of households served.
MR. WILLIAMS explained that when the middle mile buildout is
expensive, both the backhaul and consumer pricing are expensive.
He pointed to the charts on slide 4 that confirm this. For
example, the Aurora project brings the cost down to less than
$500 megabit per second (Mbps), which is considerably less than
the cost of other middle mile options. Furthermore, fiber or
microwave is limited to the areas served by those options.
MR. WILLIAMS cited several facts about broadband in rural Alaska
today.
• According to the 2021 FCC Broadband Report, 36.3
percent of rural Alaskans have no access to wired
broadband.
• No organization of authority is following the existing
2014 and 2019 Alaska Broadband Plans or monitoring the
benchmarks.
• Nobody has the silver bullet to provide reliable and
cost effective broadband to rural Alaska (not
Starlink, OneWeb, ATA, or PDI). To get broadband to
the villages will take concerted effort from different
organizations working together.
4:22:33 PM
MR. WILLIAMS turned to the maps on slide 5 that compare the
Alaska middle mile infrastructure in 2010 to the Alaska middle
mile infrastructure in 2021. He noted that while fiber and
microwave have grown, there is a question about the capacity
this has actually added. Continuing to add to an existing
network does not add capacity. He drew a parallel between a pie
cut in 6 pieces compared to a pie shared among 50. He also
pointed out that the fiber in 2 of the 4 submarine cables
running down the coast is about 22 years old which is
approaching the end of its 20-30 year expected life. He noted
that the Q fiber that runs along the northern coast was
privately financed. No federal funds were used.
4:25:08 PM
MR. WILLIAMS described Dataport's efforts to expand the capacity
for broadband in rural Alaska.
• The Aurora Project plans for two satellites the first
of which will be launched in December. Fundraising for
the second much larger satellite in underway and the
plan is for it to launch the following year. This
network will add about 100 gigabits per second of new
middle mile infrastructure that is deployable
anywhere. The goal of this project is to lower the
retail price of 25/3 broadband in rural Alaska to $99
or less. He noted that these estimates to not include
federal subsidies.
• PDI has been working to bring OneWeb technology to
Alaska. He confirmed Ms. McGuire's description of the
worldwide effort that will start in Alaska.
• PDI built the Talkeetna Alaska Teleport for OneWeb and
any other LEO or GEO HTS middle mile providers that
can be connected to the internet.
• PDI started the Alaska Broadband Association to notify
rural Alaskans when broadband comes to their
community.
• Pacific Dataport and Microcom are also working with
tribes to deploy their last mile 2.5 GHz tribal
spectrum wireless internet service provider (WISP)
systems. He agreed with Mr. O'Brien that the challenge
for tribes to get broadband in communities is to fill
the gap of the missing middle mile. Communities that
do not have fiber or microwave are locked out without
satellite. He pointed out that both OneWeb and the
Aurora networks can be used in a hybrid of low and
high capacity that goes into a modem.
4:27:53 PM
MR. WILLIAMS directed attention to the images and descriptions
of the OneWeb and the phase 1 and phase 2 Aurora networks
depicted on slide 8. He highlighted that the OneWeb network has
648 LEO satellites and the Aurora network consists of the Phase
I Aurora 4A GEO HTS satellite and the Phase 2 Aurora IV GEO VHTS
satellite, each of which covers all of Alaska. He noted that the
second satellite is the new technology that is replacing the old
C-band satellite technology. The capacity of each of the Aurora
satellites has considerably larger capacity.
4:28:56 PM
MR. WILLIAMS briefly showed an image of the Talkeetna teleport
where the middle mile connects to the internet and then
paraphrased the highpoints of the broadband challenges bulleted
on slide 11. The slide read as follows:
• No State broadband organization to help develop
state and Federal policy. To date, federal policy
is predominately being made by a trade
association that controls the vast preponderance
of federal subsidies, grants, or loans coming to
state for broadband. Alaska residents are not
represented in this process.
• 90% of federal funding for
telecommunication/broadband comes in the form of
subsidies, not infrastructure.
• Building out fiber and microwave middle mile
infrastructure in Alaska is expensive and time
consuming due to permitting.
• The USDA and FCC loan and grant programs specify
engineering outcomes (not functional outcomes)
and focus exclusively on last mile.
• The State of Alaska and its residents have no say
in where Federal broadband funding goes.
• The current FCC Alaska Plan legacy funding
program discourages competition, eliminates
market entry and disincentivizes expansion to new
areas.
• One major telecom receives more than 50% of all
telecom and broadband subsidies coming to Alaska,
resulting in a government-sponsored near-
monopoly.
• Alaska's two largest telecoms are now owned by
Outside investing firms. Guaranteed subsidies and
hundreds of millions per year in profit makes
them valuable as an investment.
• Alaska must stop hoping someone from outside the
state will provide a broadband "silver bullet" or
expect Federal agencies to organize multiple
federal funding programs.
• There is not one single idea or concept that will
solve the Alaska Problem. The solution must be
multi-faceted and organized at state level.
4:29:43 PM
MR. WILLIAMS paraphrased the highpoints of the broadband
solutions bulleted on slides 12 and 13. The slide read as
follows:
• Support the only HYBRID satellite project
currently developing affordable middle mile
infrastructure that will deliver reliable
broadband to rural Alaska for $99 or less (Aurora
Project)
• Use GEO HTS satellite middle mile to "fill the
gaps" as 2014 and 2019 Alaska Broadband Plans
suggest
• Require 20% of ALL Federal broadband funds coming
to Alaska go to new middle mile infrastructure
• Allow up to three middle mile providers access to
Federal funds to encourage competition ? Require
these agency heads to visit Alaska and see how
remote communities
• Require 25X3 deployment to 100% of Alaska BEFORE
requiring any faster broadband
• Use satellite as a redundant source (or backup)
where fiber is currently deployed as the 2014 and
2019 Alaska Broadband Plans suggest
• Remove ALL barriers that may prevent market entry
or favor terrestrial technology (FCC, USDA, NTIA)
• Allow broadband providers access to ALL Federal
funds (regardless of ETC status)
• Require federal broadband funding given to the
State to provide grants or loans to middle mile
programs meet all four of these economic
criteria:
• Provides the greatest breadth of
coverage of Alaska
• Provides middle mile capacity at the
lowest cost per unit
• Can be available within 2-3 years
• Has a long-term plan that is
sustainable and plans for growth
• Use FCC, USDA, NTIA broadband funds to deploy 2.5
GHz Tribal spectrum last mile WISP systems in
rural Alaska
• ? Establish an official, authoritative Alaska
Broadband Office:
• Housed in the SOA Department of
Commerce, DCRA or Denali Commission
• Must be a politically neutral and
independent office, without exposure to
undue influence
• Require broadband provider reporting to
The Office
• Establish "build once" policy along all new roads
and public right of ways: Allow providers access
to lay their own fiber.
• Stop accepting a lower benchmark for the
definition of broadband in Alaska. This should be
25X3 or what the FCC defines as broadband in the
Lower 48.
• Utilize satellite middle mile to implement hybrid
systems and lower telecom middle mile costs,
therefore making middle mile much more
affordable. The Aurora GEO HTS and OneWeb LEO is
the perfect example of this new method.
• Change statute to give AIDEA the ability fund
satellite broadband infrastructure projects.
• Definition of "project" and project
location limitations restrict AIDEA's
ability to support this kind of project
SUGGESTED FCC ALASKA PLAN MODIFICATIONS (Write a
declaration to the Alaska Delegation and the FCC):
• Immediately allow new members to join and access
Alaska Plan funds, regardless of non-ETC or
broadband-only provider status
• Provide funding for middle mile infrastructure to
meet the needs of Alaskans and Alaska telecoms
• Establish middle mile pricing benchmarks as the
Alaska Plan requires
• Require all members to access new sources of
lower-cost middle mile, regardless of latency as
the Alaska Plan requires
• Provide a comprehensive report on what the first
$750M delivered: new infrastructure, pricing,
speeds and number of new broadband customers as
the Alaska Plan requires
4:32:08 PM
MR. WILLIAMS reviewed the Starlink System Arctic coverage on
slide 14. He explained that the image is a recent shot from a
website that tracks satellite deployment and location in real
time. He pointed out that Starlink's investment in Alaska
consists of 10 experimental satellites in polar orbit and a
small trailer mounted gateway in Prudhoe Bay. He noted that it
is still navigating issues such as orbital debris and 12 GHz
spectrum sharing challenges.
MR. WILLIAMS directed attention to the quotes from leaders
voicing concern about the limitations or lack of broadband
service in rural Alaska on slide 15. They read as follows:
"A cash economy and high-speed internet has changed
the way we live, work, and socialize. While many rural
Alaskans enjoy the advantages of urban living, it is
easy to see in an emergency, like the one we currently
and collectively face, those privileges, sometimes
life-saving, do not benefit Alaskans and rural
Americans equitably?. The cost of 6Mbps download
residential service with a 40GB monthly data cap in
Bethel is $165/month and in Kotzebue $150/month. In
Dillingham the cost is $165/month for 6Mbps download
and 100GB data cap. This makes it cost-prohibitive for
the average family in rural Alaska to purchase high-
speed Internet. That can leave 82 percent of Alaskan
communities without an affordable option to provide
distance education to children or the option to
telework." Robert Beans, Chair Andrew Guy,
President/CEO at Calista Corporation March 20, 2020
"SWAMC recognizes the great value of a project like
PDI's, given the strong need for broadband access is
critical to enhance economic development and support
ongoing educational efforts as well as other business
opportunities in our region. Much of our region will
not see this occur without the Aurora HTS system as
they are not, nor will they be, served by the GCI
undersea cable project that will connect 7 of our 55
communities to the critically needed service. There is
no one size fits all solution to Alaska's broadband
needs, and the PDI project is clearly the answer to
much of our region and the State." Shirley Marquardt,
Executive Director at SWAMC January 10, 2021
"We're looking for solutions to deal with the needs of
the customers we have today and we really feel an
urgency to get to solutions, because they can't wait.
And we can't wait because C-Band infrastructure is
going to dissolve." Greg Chapados, President and COO
at GCI Liberty (2020 AFN Annual Convention) October
16, 2020
MR. WILLIAMS offered to send the committee copies of letters on
this topic from former Governor Murkowski, Alaska Tribal
Broadband, OptimERA, SWAMC, Alaska Village Initiatives Northwest
Arctic Borough, and Nome Public Schools. He advised that he
would also send his recommendations on SJR 13 to bring
stakeholders in the state to the table to talk about what to do
with broadband funding.
4:33:56 PM
CHAIR HUGHES thanked Mr. Williams and recognized Ms. Cooper with
Space Exploration Technology Corporation.
4:34:26 PM
PATRICIA COOPER, Vice President, Satellite Government Affairs,
Space Exploration Technology Corporation (SpaceX), delivered a
presentation on the Starlink Satellite Broadband Project. She
stated that SpaceX is pleased to share information on how
Starlink can contribute to the effort to connect Alaskans. She
related that SpaceX was founded in 2002 and is well known for
designing, manufacturing, and launching advanced rockets and
spacecraft. About six years ago SpaceX started working on
Starlink, which is a constellation of satellites to deliver
universal broadband access around the world where access had
been unreliable, too expensive, or completely unavailable.
SpaceX launched the first test satellites in 2018 and 1,400
Starlink satellites since then. At the same time they have been
building a network of gateway ground stations that link Starlink
users to the fiber internet background. She noted that the image
on slide 2 is a stack of 16 Starlink satellites that were just
launched into space on one of their reusable Falcon 9 launch
vehicles and just prior to the satellites' separation and
deployment into low earth orbit.
MS. COOPER reported that the company is making good progress
towards its network buildout goals and was able to offer beta
services to consumers in the northern Continental U.S. in
October 2020. In November 2020 service was extended to southern
Canada and today, more than 10,000 beta users are served in six
countries around the world. In summer 2021, the expectation is
to have sufficient satellites on orbit to serve customers from
53 north and 53 degrees south latitude. At that time SpaceX will
turn to a campaign to deploy Starlink satellites to Polar orbit
in a way that will provide full coverage over Alaska and the
Arctic.
4:36:53 PM
MS. COOPER reported that Starlink's top priority is to deliver
high quality broadband service directly to consumers. Serving
consumers directly from a satellite is a considerable challenge
but we believe Starlink technology will open economic,
education, and healthcare opportunities for people all around
the world. It will also in support solutions for government and
the enterprise customers. Starlink uses thousands of satellites
to deliver broadband speeds that range between about 50 and 150
megabits per second with ongoing improvements that will allow
our customers to reach 300 megabits per second over the next
year and gigabit speeds in the future. Starlink beta customers
currently on the network are consistently seeing speeds over 100
megabits per second down and 45 megabits per second up. Also
because of our satellite are over 60 times closer to the earth
than traditional satellites, Starlink delivers low latency
broadband. This is the time it takes to send data from one point
to the next. Lower latency is vital to the online services that
are in demand today. Video calls like we are on now, or
streaming video across multiple devices in the home like
everyone does, or even online gaming. Because Starlink
satellites fly close to the earth, our Starlink beta users are
regularly seeing latencies between 20 and 40 milliseconds, which
can support those kinds of service.
MS. COOPER said it is part of SpaceX's essential culture to
continuously iterate and Starlink is no exception. She said
SpaceX recently made several major upgrades that delivered even
more reliability and significantly improved throughput to
customers. Now, for most beta customers if communication with
their assigned satellite is interrupted for any reason, their
Starlink dish will seamlessly shift to an alternate satellite
resulting in far fewer network disruptions. The ability to
switch between satellites to the best signal is enabled both by
cutting edge software and antennae technology in space and on
the ground, and also by the constellation of their many
satellites. The Starlink software team also rolled out something
called the Dynamic Frame Allocation. It is a feature that
dynamically allocates additional bandwidth to users based on
their real time usage. That allows better balancing of load
across the network and ultimately delivers higher speeds to
individual users.
4:39:24 PM
MS. COOPER said Starlink is designed to be easy to use and fast
to deploy. All that is needed to connect to the service is the
kit depicted on slide 4 and a power source. To get started,
customers sign up for service at starlink.com and pay a onetime
$499 fee for the dish and Wi-Fi router. The subscription service
cost is $99 per month. She said SpaceX likes to say that the
Starlink user antennae has more advanced technology than most
fighter jets. It is lightweight, durable, and simple to operate.
Once it is powered up, the antennae automatically points in the
right direction. The phased array antennas start to connect
immediately to the Starlink satellites above.
She reported that SpaceX has been offsetting the cost of the kit
to make it more affordable to consumers during the early stages
of development. They have made a considerable focus on the
design and production of the Starlink kit and are on a good
trajectory to continue to drive down manufacturing costs. Just a
few months ago, the original kit cost over $3,000 per unit to
produce and today it costs about half that. A further iteration
is expected to cut another $200 per unit. She said this is all
part of the drive toward affordability.
4:40:51 PM
MS. COOPER reported that deployment in Alaska has been part of
the SpaceX plan from the beginning. The plan will be implemented
this coming summer with a polar orbiting launch campaign. This
deployment drive will bring full polar coverage and by 2022
allow the first service for Alaska homes and businesses. In
addition to consumer and enterprise services, SpaceX is actively
working with the U.S. Department of Defense to provide military
communication services in the Arctic and across northern
latitudes. SpaceX launched its first 10 polar orbiting
satellites in January 2021 with the Transporter I mission. These
satellites were equipped with SpaceX designed optical satellite
links or space lasers that are being tested to transfer data
between Starlink satellites in space. They rely on a tracking
telemetry and control ground station installed in northern
Alaska to support these ongoing testing operations and are
developing three additional sites in Alaska to support future
polar orbiting operations and services.
MS. COOPER emphasized that the space lasers being tested are a
key enabling technology for full connectivity in Alaska and the
poles. They reduce or eliminate dependency on ground-based
gateways to connect Starlink traffic to the internet. This is
particularly important in polar areas where fiber options are
limited and gateways are difficult or impossible to install.
This means Starlink would be able to connect in the most remote
regions on earth that are far from ground infrastructure.
Beginning with satellites launched into the polar orbit,
Starlink will start incorporating space lasers on all satellites
going forward.
4:42:42 PM
MS. COOPER turned to slide 7 that depicts the large satellite in
the Pikangikum First Nation village in Ontario, Canada. She
explained that this last winter Starlink's data rollout in the
northern U.S. states and southern Canadian provinces gave
terrific opportunities to test operations in extreme weather
conditions. From direct testing and customer feedback, Starlink
demonstrated that it is reliable and hardy in snow storms and
very low temperatures. The company was also pleased to form
strong community partnerships that showcased how Starlink can be
rapidly deployed to unserved home and also provide remote
learning, government services, and high quality connectivity.
She specifically mentioned the partnership with the Pikangikum
First Nation reservation, an indigenous community located in a
beautiful but very remote area of Ontario about 300 kilometers
northeast of Winnipeg. There are about 400 households or 3,000-
4,000 people. SpaceX delivered Starlink to the community in the
dead of winter bringing their available speeds from single digit
connectivity to reliably over 100 megabits per second. SpaceX is
building similar partnerships across the U.S. and Canada and
sees similar opportunity for collaboration with Alaskan
communities.
4:44:05 PM
MS. COOPER summarized that Starlink deploying rapidly and they
are growing their constellation and coverage area with each
additional launch. They are building about 120 satellites per
month and aiming to launch monthly on the reusable Falcon 9
rockets, deploying about 60 satellites each mission. To date,
the launch total is 1,445 satellites. In March they conducted
four launches and deployed 240 satellites to orbit. With this
cadence they expect to have continuous coverage for large parts
of the world with just a few more launches. They will turn their
attention and considerable efforts to polar campaigns this
summer and look forward to supporting Alaskans by early 2022.
4:45:23 PM
CHAIR HUGHES thanked Ms. Cooper and asked the members if they
had questions for any of the presenters.
4:45:43 PM
SENATOR GRAY-JACKSON asked how Starlink speeds compare to GCI.
MS. COOPER explained that when they do beta testing they tell
customers to expect between 50 and 150 megabits per second
(mps). Tests of the recent upgrades show speeds of up to 300
mps.
4:46:46 PM
CHAIR HUGHES asked Mr. Boucher how much money is available
through the Connecting Minorities Pilot Program and if it is
refunded annually.
4:47:10 PM
MR. BOUCHER replied the program is still in the rule making
stage, but the expectation is that minority serving
institutions, which UA is among, would be eligible for about
$265 million.
CHAIR HUGHES asked Mr. O'Brien if the $1.6 billion from the NTIA
for tribal broadband projects in Alaska had been appropriated or
if it was through the infrastructure bill that Congress was
considering now. She asked what the acronym stands for.
4:47:52 PM
MR. O'BRIEN answered that NTIA is the National
Telecommunications and Information Administration. He said the
three programs were supposed to be released 60 days after
December 27 but NTIA negotiated the timeline for later in the
summer. The three programs are 1) $285 million for serving
minority communities for workforce development and training; 2)
$1 billion for tribal broadband to connect tribal communities;
and 3) $300 million for state broadband infrastructure. State
and private sector partners are required for the $300 million.
These are nationwide.
CHAIR HUGHES asked Ms. McGuire where the OneWeb launches are
taking place.
4:49:14 PM
MS. MCGUIRE answered that the OneWeb launches were funded and
prepaid by Kazakhstan as part of the original business plan, but
live launch viewings have been coordinated in schools and local
businesses. She added that locations in Alaska have not been
ruled out for future OneWeb launches.
CHAIR HUGHES referred to slide 6 of the OneWeb presentation and
asked if the map showing broadband access in the state was
current to 2021 because it only covers Southcentral and
Southeast.
4:50:26 PM
MS. MCGUIRE answered yes.
CHAIR HUGHES asked Mr. Williams for a brief explanation of the
difference between low earth orbit (LEO) and geosynchronous
earth orbit (GEO) and GEO HTS and GEO VHTS.
4:51:50 PM
MR. WILLIAMS answered that the difference is the distance from
the surface of the earth. LEOs are close to earth, MEOs are
farther out, and the GEOs are the farthest from earth. He
explained that once a GEO reach its "address" along the equator,
it travels in a belt at the same rate as the earth's rotation.
Once PDI's two satellites are launched, they will be about 18-20
degrees off the horizon. In answer to the second question, he
said HTS stands for high throughput satellite and VHTS is very
high throughput satellite. The VHTS has the ability to
communicate with moving targets such as a plane or cruise ship.
It also has onboard data processing.
4:53:10 PM
CHAIR HUGHES asked if the Alaska Broadband Association might be
an entity that could help with coordination or if he was
suggesting that the state might have an entity to bring all
stakeholders to the table.
4:53:52 PM
MR. WILLIAMS said the latter. It would not be the Alaska
Broadband Association to hold that role. There needs to be a
neutral organization to help bring all the stakeholders to the
table including the providers that only provide broadband and
middle mile providers. These people currently do not have a seat
at the table. The organization that represents the telecoms does
a great job representing them. Their time and efforts are
valuable, but organizations like PDI and the Alaska residents
are not represented and they should be. Especially with the
money that is coming to Alaska.
CHAIR HUGHES shared that the genesis of the hearing stemmed from
her concern about equal access for students who live in rural
Alaska because she lived there herself. She would like to see
access statewide robust enough that all students who are
interested could participate in a two way live video conference
class in Anchorage. The pandemic made it clear that there is a
need to be able to work from home. Internet access is also
important for commerce, and telemedicine. She said we are now
realizing that the information highway is a very important piece
of infrastructure. She noted that she recently asked Senator
Lisa Murkowski about the prospects for funding this summer or
fall and she said a concern is that what works for the Lower 48
may not work for Alaska. With that in mind, she asked the
presenters to share any suggestions, language, or concern about
SJR 13. The resolution is sending a message to Congress to ask
for flexibility with the forthcoming funding to meet the unique
needs and challenges of Alaska. She cited money dedicated to the
middle mile as an example.
4:59:05 PM
There being no further business to come before the committee,
Chair Hughes adjourned the Senate Community and Regional Affairs
Standing Committee meeting at 4:59 p.m.
| Document Name | Date/Time | Subjects |
|---|---|---|
| A Blueprint for Alaska’s Broadband Future 12.11.19.pdf |
SCRA 4/15/2021 3:30:00 PM |
|
| ATA State of Broadband 4.15.21.pdf |
SCRA 4/15/2021 3:30:00 PM |
|
| University of Alaska Broadband Challenges and Opportunities Presentation 4.15.21.pdf |
SCRA 4/15/2021 3:30:00 PM |
|
| Denali Commission Presentation 4.15.21.pdf |
SCRA 4/15/2021 3:30:00 PM |
|
| Updated OneWeb SCRA hearing 4.15.21.pdf |
SCRA 4/15/2021 3:30:00 PM |
|
| PDI - AK SENATE 4.15.21.pdf |
SCRA 4/15/2021 3:30:00 PM |
|
| Starlink Overview 4.15.2021.pdf |
SCRA 4/15/2021 3:30:00 PM |