NEBRASKA LEGISLATURE
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Sen. John Kuehn

Sen. John Kuehn

District 38

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Reliable and affordable access to the internet has become an essential need for most Nebraskans and is a common concern expressed by constituents in District 38. Many rural residents have significant challenges with speed and reliability of land-based internet service, and instead must turn to wireless providers to gain internet access. In fact, over half of internet access is currently via wireless devices rather than traditional computers connected to wired internet service providers.

Each generation of wireless technology brings with it a 10 fold increase in speed and capability. Increasing sophistication of applications and the sheer volume of data being exchanged during even basic tasks makes the deployment of the next generation of wireless infrastructure, known as 5G for 5th Generation, critical for rural Nebraskans.

This past week the Nebraska Legislature saw defeat of a bill critical to laying the foundation for deployment of 5G technology in Nebraska. Ironically, much of the opposition of the bill came from rural communities who would not be impacted directly by the bill’s provisions, but have the most to gain from a rapid upgrade to 5G technology.

The bill, LB 389, was written to provide consistency and facilitate the deployment of small cell technology in Nebraska’s urban centers. If you have ever been at an arena or stadium in Omaha or Lincoln for an event and been unable to send a text or access the internet from your phone, you experienced the need for small cell deployment. A typical cell tower has a coverage radius of several miles. When use is high, such as when ten thousand people are in a single arena, the coverage area of a cell tower shrinks and congestion occurs. Small cell devices are placed on utility poles in areas of high density use to provide network access.

Currently cities have the ability to charge whatever they want for a wireless provider to “lease” space on a publicly owned pole to install a small cell unit. The city of Lincoln charges $2,000 annually for each device. That is a cost that is passed along to you, the wireless consumer. For the governments of Lincoln and Omaha, these fees represent revenue streams that you experience no differently than a tax on your wireless bill. Each city also has its own process and restrictions for applying for placement. This patchwork of regulations and excessive cost has hindered the widespread installation of small cell technology in Nebraska’s urban centers.

There are lots of things mounted on public utility poles. In Nebraska, these are poles owned by you, the ratepayer. The practice is so common that NPPD has a set rate for “leasing” this space. It is $11.50 each year. The placement of small cell devices does not result in increased costs for the city. It does, however, provide an important consumer service to the taxpayers who own the infrastructure.

Small cell technology will never be deployed in the small towns across Nebraska. They are used only in situations where thousands of data users are concentrated in a very small area of a few city blocks. Despite this fact, many rural communities, including several in District 38, actively lobbied against the legislation with false claims. Unfortunately, their opposition has created serious consequence for rural Nebraskans. Nebraska now goes to the back of the line for 5G deployment, which delays the technology for several years.

With the increased speed and data transfer afforded by 5G technology, congestion in high density urban areas will be magnified. In order to accommodate the increased traffic, deployment of an extensive small cell network in Lincoln and Omaha will be required before upgrading Nebraska’s cellular network to 5G. The barriers of cost and regulation established by cities to generate revenue has a very real and profound cost to all Nebraskans, beyond the increase on their cell phone bills.

Nebraska had an opportunity to streamline a regulatory process and facilitate better technology access at a lower cost, a process already adopted in 15 states almost unanimously. It highlights the need for voters to know clearly how their local elected officials are lobbying on legislative issues and the impacts of their efforts. Rural Nebraskans will be paying the price for years of the failure of their local officials to study and understand this very important issue.

Sen. John Kuehn

District 38
Room #2000
P.O. Box 94604
Lincoln, NE 68509
Phone: (402) 471-2732
Email: jkuehn@leg.ne.gov
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