Include Broadband in Your Capital Improvement Plan for Strategic Benefits

Despite its increasing importance, broadband is often overlooked in municipal budgets.

The result? Economic stagnation and reduced public access, which particularly affects underserved communities.

Municipalities plan for the future by relying on a structured financial roadmap known as a Capital Improvement Plan (CIP) to prioritize and allocate funding for critical infrastructure projects.

CIPs traditionally focus on roads, water systems, sewers, public buildings and emergency services. However, in today’s digital age, broadband (or telecommunications) infrastructure is equally vital to a community’s growth and sustainability.

The reality is that when broadband infrastructure is not prioritized in a CIP, municipalities risk falling behind in economic competitiveness.

Broadband Is Critical Infrastructure for Today

Broadband is as essential as roads, electricity and water in the modern economy. Reliable high-speed internet serves as the foundation for economic growth, education, healthcare and municipal operations.

To foster economic development, digital equity, public safety and financial sustainability, it is important for municipalities to include broadband or telecommunications as a dedicated line item in their budgets and long-term CIPs.

Many local governments assume that private Internet Service Providers (ISPs) will adequately meet their needs. Yet many communities, particularly rural and underserved urban areas, lack adequate broadband access because of insufficient private investment.

Widespread adoption of telehealth and remote learning, along with businesses operations that rely upon high-speed internet, municipalities that fail to invest in broadband risk leaving residents without proper access to crucial services.

By integrating broadband as a line item in municipal budgets and incorporating it into Capital Improvement Plans, local governments can take proactive control over their digital future. This leads to stronger economies, more resilient communities and better quality of life for residents.

Challenges with Private ISP Coverage

One of the key challenges municipalities face in broadband expansion is the limitations of private ISPs in providing universal, affordable access.

Many ISPs have gaps in their service footprint for certain neighborhoods and rural areas where deployment costs rise. This contributes to a digital divide, where some residents have access to high-speed internet while others struggle with slow or no connectivity.

By including broadband in their CIP, municipalities can:

• • • Develop public-private partnerships to expand broadband coverage.
    • Fund municipal fiber networks that provide affordable, high-quality internet access.
    • Apply for state and federal grants dedicated to broadband expansion.
    • Reduce dependency on private ISPs, ensuring greater control over local internet accessibility and pricing.

Enhancing Public Safety and Government Operations

Municipal broadband investment is not just about economic development.

Many emergency response and crisis systems, including police, fire departments and 911 services, require reliable, high-speed connectivity to operate effectively in disaster response.

A Future Perspective
Municipalities are increasingly adopting smart city technologies that rely on broadband connectivity, which include:

• • • Traffic management systems that reduce congestion and improve safety.
    • IoT sensors that monitor water and energy usage for efficiency.
    • Cloud-based government services that streamline operations and reduce costs.

Without a well-funded broadband strategy in the CIP, municipalities risk falling behind in adopting these innovations, leading to inefficiencies and increased operational costs.

Promoting Digital Equity and Public Access

Prioritizing broadband in municipal budgets and CIPs will help cities bring digital inclusion to communities.

In many communities, a lack of affordable broadband options creates a digital divide, leaving low-income families, students and seniors without the internet access necessary for education, jobs and healthcare.

Investing in municipal broadband infrastructure allows cities and towns to:

• • • Expand public Wi-Fi in parks, libraries, and community centers.
    • Offer low-cost broadband options for unserved and underserved residents.
    • Allow students to access remote learning tools from home.
    • Support telehealth services, reducing barriers to healthcare access.

Financial Sustainability and Cost Savings

Perception vs. Reality: Municipal broadband investment is often seen as an expense, when it’s actually a long-term investment strategy saving costs.

Leasing internet access from private ISPs can be expensive, and municipalities with their own broadband infrastructure can significantly reduce operational costs over time. They also can better plan investments instead of reacting to costly service gaps.

For example, cities that develop their own fiber networks can save money by eliminating recurring costs paid to ISPs, generate revenue by leasing network capacity to businesses or neighboring towns, and use more efficient cloud-based government services, reducing IT expenditures.

Key Takeaways

Broadband is no longer a luxury—it is an essential service impacting economic development, public safety, government efficiency and digital equity. Relying solely on private ISPs to meet broadband needs is a risky strategy that can lead to higher costs, limited access for communities and a failure to support various smart city initiatives.

Now is the time for municipalities to recognize broadband as a critical investment and plan accordingly. Future-proofing a community starts with intentional, strategic investment in connectivity—and a well-structured CIP that includes broadband infrastructure will make that vision a reality.

Halff offers a unique one-stop-shop approach to your broadband projects, providing varying options to best fit your needs. Get started today by contacting Broadband Practice Leader Sean Droptini (sDroptini@halff.com).