JOINT USE 101 Past Present Future Southwest Electric

JOINT USE 101: Past, Present & Future Southwest Electric Distribution Exchange Horseshoe Bay, Texas May 4, 2017 Eric Langley

What is Joint Use ? Ø Broad Definition • Any entity using a pole owned by another party Ø Specific Definition • The pole sharing relationship between an electric utility and an incumbent telephone company 2

Ø In the beginning… • • Two Party System Electric & Telephone Ø Genesis of “Mom & Pop” CATV Ø 1978 Pole Attachments Act • • • Protect “Mom & Pop” from big monopolies CATV only No access rights Gave FCC jurisdiction to ensure “just and reasonable” rates, terms and conditions EXCEPT where the state regulates Excluded co-ops and munis 3

“Certified” States Alaska Massachusetts Arkansas Michigan California New Hampshire Connecticut New Jersey Delaware New York District of Columbia Ohio Idaho Oregon Illinois Utah Kentucky Vermont Louisiana Washington Maine 4

1996 Amendments to Pole Attachments Act Ø Telecommunications Act of 1996 • Part of broader telecom reform Ø Why? CLECs/Competition Ø Major changes • Telecommunications carriers • Access rights • New rate structure Ø Excluded ILECs…or maybe not? 5

State Regulation Ø Typically with state PSC/PUC • Rates • Access • Deference to FCC? Varies from state to state Ø Who does it cover? • Varies from state to state 6

Contracts/Tariffs Ø Joint use agreements v. pole license agreements Ø Tariffs Ø Key provisions: • • • Access procedures Transfers Rate Indemnity Insurance Bond 7

State Level Small Cell Legislation Ø Origin Ø Objectives Ø Status Ø Consequences 8

Recent FCC Notice of Proposed Rulemaking Ø Rate objectives • Telecom Rate • ILEC Rates Ø Make-Ready Costs Ø Make-Ready Process • • • One-touch make-ready Accelerated timeline Enhanced self help remedy Ø Status 9

Wireless Attachments Ø Types of Attachments: • Wi-Fi • Distributed Antenna Systems (“DAS”) • Small Cell Ø Major Issues: • What poles? • Where on poles? • What price? 10

Issues on the Horizon Ø Wireless Boom Ø New Fiber Deployments Ø Streetlights Ø Legislative Activity 11

QUESTIONS ? Eric Langley eric@langleybromberg. com 205. 783. 5751 12