SENATE BILL 483

Testimony of Bill Esbeck

Executive Director, WSTA

Before the Senate Job Creation, Economic Development & Consumer Affairs Committee

Tuesday, February 7, 2006

CURRENT STATE OF BROADBAND PENETRATION: 

• The FCC’s most recent report to Congress on broadband availability concluded that the United States is making substantial progress in closing the gaps in access for traditionally underserved areas. Availability of Advanced Telecommunications Capability in the United States, Fourth Report and Order at 8, FCC Docket. No. 04-208 (September 9, 2004). 

• The FCC report also shows that, as of December 2003, only 6.8 percent of U.S. zip codes reported no high-speed lines (this compared to 22.1 percent in 2001).  Id. at 30.  This signifies the continual advancements being made to make broadband services available to all Americans and the next report from the FCC will likely show even more improvement. 

WSTA MEMBER COMPANIES ARE LEADING THE WAY:

• WSTA member companies are continually upgrading their systems to ensure that Wisconsin’s residents and businesses have access to the most effective services to fit their needs. 

• In the past decade, WSTA members have invested literally billions of dollars to provide the highest quality services around and they will continue to do so to remain competitive in the marketplace. 

• WSTA ISPs are also expanding their networks (some wireless) to reach more and more residents

MORE CAN BE DONE:

• The benefits of broadband service are significant for business and government alike.  Advanced services are at the core of economic development. 

• This bill recognizes the fact that investments into broadband facilities can be significant, particularly when those investments are made in sparsely populated areas where the return on investment is more risky. 

• This bill will encourage additional growth in unserved (of which there is very little in Wisconsin) and underserved areas.  Growth in underserved areas will encourage competition and ultimately benefit the consumer. 

WSTA’S SUPPORT:

• The WSTA is supporting this bill because it will provide tax incentives to invest in broadband equipment during the term of the tax credit/tax exemption. 

• Some WSTA members will not benefit from this bill because their service territories are not underserved…nonetheless, they are supporting the bill because it signifies Wisconsin’s commitment to strong advanced service infrastructure.  

• WSTA encourages the Committee to provide companies with some ability to pursue tax refunds on a retroactive basis.  This will recognize some of the investments that companies have already made, and will discourage companies from waiting to deploy services based on this pending legislation.

ASSEMBLY BILL 748

Testimony of Chris LaRowe

Manager of External Affairs, WSTA

Before the

Assembly Energy & Utilities Committee

Tuesday, December 20, 2005

Good morning.  Mr. Chairman.  Committee Members.  Thank you for the opportunity to be here today.  As was stated, my name is Chris LaRowe – I’m the Manager of External Affairs for the Wisconsin State Telecommunications Association (WSTA).  Our membership includes all of Wisconsin’s 83 local telephone companies, 10 wireless providers and 31 Internet service providers.

I am here today in support of AB 748 because we believe it is good public policy and to support our brethren in the electric industry.  However, I’d like to let the Committee know we have spoken with the author (Rep. Van Roy) about the possibility of amending the bill to include telecommunications (landline and wireless) and cable facilities.

In discussing this matter with a number of our member CEOs/Managers, shooting at telecommunications and cable facilities has occasionally been an issue in the past and probably will be in the future.  People with rifles have used telephone load coils, telephone aerial cables and splice cases, telephone pedestals, and worst of all, telephone MXU site cabinets filled with expensive switching equipment as objects for target practice.

To the extent this Committee and the Legislature decides that it’s not O.K. to shoot at electric transmission facilities, we hope you agree that it’s not O.K. to shoot at telecommunications (landline and wireless) and cable facilities.

Again, thank you for your time and I’d be happy to take any questions.