Economic Development

Nelson County has been vigorously pursuing broadband for its businesses and residents. Below is a synopsis of the work completed to date, culminating in the receipt of funding from the American Recovery and Reinvestment Act.

In 2004, the Director of Economic Development and Tourism wrote a grant from the Rural Utilities Service with Amherst County for a broadband study.

Virginia Tech drafted a preliminary technology report in 2005 that includes:
-Study of County topography
-Identification of private sector service providers and document market penetration
-Identification of the opportunities to coordinate with the school system ñ existing strategies and resources
-Identification of the opportunities to coordinate with private sector service providers – we do not want to compete with
-the private sector – encourage expansion of current levels of service, then, if necessary, offer service so that as many citizens as possible have access to broadband
-Identification of future technologies that might be applicable
-Identification of pilot project(s) applicable

The EDA hosted a business development team from Verizon at its meeting in September 2005, who outlined Verizonís criteria for DSL deployment.

In 2006, the Economic Development Authority  funded a county-wide broadband  survey in Nelson County. The regional broadband study is focused on three areas:  economic development, education/telemedicine, and public safety. The survey answered the questions: where do we have broadband access and where is it needed/desired to further economic development opportunities, education/telemedicine services, and public safety?

The Spring, 2006 Broadband survey mailed to 7,940 households in Nelson County and 4,689 households in Elkton – the two pilot areas for the study – with 509 completed surveys returned.  The survey findings indicated that:
- More than 60% of organizations have an Internet connection and all employees are accessing the Internet;
- More than 76% of the respondents use dial-up as their primary means of accessing the Internet;
- More than 96% use the Internet for email, followed in high percentages for browsing, research, banking and on-line ordering;
- More than 59% of respondents were not satisfied with their Internet speed/service;
- More than 43% were willing to pay more for higher quality and faster Internet access;
- More than 74% indicated that better Internet access is vital to them and/or their business over the next five years; and
- More than 90% believe they and their business would benefit from affordable broadband access.

In December 2006, the County applied for for planning funds from the Virginia Department of Housing and Community Development’s Rural Broadband Initiative.  On January 11, 2007, the County received notification that it was the first in the Commonwealth to receive a $25,000 planning grant.  The County subsequently received two additional planning grants from DHCD, completing the plan that led to the successful completion of the round one stimulus funding.

On March 25, 2010, Nelson County was  awarded $1,826,646 from the American Recovery and Reinvestment Act, or stimulus bill, to expand broadband internet service in rural areas of the County. This is the first round of Recovery Act funding, aimed at expanding broadband access to help bridge the technological divide and to create jobs by building  internet infrastructure. The funding for the Nelson County Broadband Project was announced March 25, 2010 by the U.S. Department of Commerce. More than 1800 applications were submitted for the first round of Recovery Act funding, and only two Virginia localities were awarded funds.

Board of Supervisors Chairperson Connie Brennan said, “This project allows Nelson County to enhance our quality of life as well as create jobs and lay the groundwork for long term sustainable economic growth.” She touted the efforts and the leadership demonstrated by the Board of Supervisors, Economic Development Authority, Virginia Department of Housing and Community Development, the Broadband Project Management Team, County staff and the project consultants, ICON Engineering. It is important to note that while this project will improve and expand the areas served by high speed service, not all County residents and businesses will be served.

The project is expected to take no more than two years to complete. Nelson County is ready to begin the request for proposals process now that funding has been secured. Private provider interest has already been determined through the preliminary request for interest surveys as well as meetings with interested service providers.

The Nelson County project invests in open access infrastructure to enable private provider expansion of last mile services to new areas, higher speeds of services and a choice of providers. The project is designed to provide a fiber optic network and towers from the north to the south end of the County, linking the communities of Afton, Avon, Lovingston, Colleen, Tyro and Massies Mill. Backhaul will be augmented in the more difficult to reach areas by microwave. The network will initially pass approximately 170 businesses and 805 residences directly with fiber and wireless, and enable an additional 92 businesses and 750 residences to be served via wireless technologies. The network will facilitate the delivery of more cost effective bandwidth to schools, municipal and state facilities (22 total community anchor facilities) within reach of the proposed infrastructure. Total critical community facilities to be served via fiber and or wireless include: 14 municipal/education facilities; 6 public safety facilities; 3 healthcare providers; 4 community centers and a library, and 3 private provider facilities for interconnection. The project will deliver increased bandwidth to the key institutions located along the fiber optic backbone through direct fiber connections, offering bandwidth of 100 Mbps per facility, delivering greater amounts of bandwidth at a much lower cost. Even with this build out of infrastructure, not all County businesses and residents will be served by all service providers.

With funding from the Virginia Department of Housing and Community Development, a committed team of stakeholders comprised of representatives from local government, private businesses, residents, healthcare providers, the school district, the local electric cooperative and incumbent cable and wireless providers worked for nearly four years to develop a fiscally responsible implementation plan.  Assistant Secretary for Communications and Information and National Telecommunications and Information Administration’s Administrator Lawrence E. Strickling noted, “…the strongest proposals are the ones that have taken a truly comprehensive view of the communities to be served and have engaged as many key members of the communities as possible in developing the projects.”

Economic Development Authority Member Natt Hall commented on the economic impact of the project. “Market survey results show that over 60% of residents rely on dial-up for Internet access, limiting opportunities for telecommuting and  distance learning. There is no higher education facility to support the transition from high school to college, or for adult continuing education. The broadband network will allow the County to compete for new businesses, support and grow existing businesses, ensure the future sustainability of County growth, and allow ―remote‖ businesses to increase visibility beyond County borders through eCommerce and web marketing. Access to high speed services will enable home-based business to start up, will attract higher wage jobs and new businesses, and enable access to distance learning content to augment higher education and training gaps, as well as decrease the 60% out-commute rate. “

County Administrator Steve Carter described the project. “Installation of a fiber optic backbone from Afton to Colleen in Nelson County will enable the provision of affordable broadband communications providing for the provision of last mile services, encouraging competition and economic development, growing existing business, attracting new business and enabling home based business, telework and telemedicine.”