What Broadband Can Do For Your Community: the South Dundas Report

South Dundas Township, Ontario, a regional municipality with a population of
11,000 lost 600 jobs from their modest manufacturing sector in the 10 years
leading up to 2000. Council decided to take action and chose to build a
broadband network as the means of reversing the community’s decline. They
created the following mission statement:

"Deliver to the taxpayers of South Dundas their share of the new prosperity
and services being enjoyed by larger urban areas in Canada, while
protecting the positive aspects of rural life."

(Many thanks to Geoff Bedenoch of the Missoula Redevelopment Agency for forwarding this very interesting example of the power of high speed net access when implemented in a community.-Russ)

The Dundas project provides valuable insight into the opportunities and
potential that can result from community owned broadband infrastructure. For
more information on the project and/or the report you may contact CMON at
[email protected] or (250) 365-1115 or visit the Industry Canada website at
http://broadband.gc.ca/news/newsclips_e.asp

Case Study: Economic Impacts of Broadband in South Dundas Township

South Dundas Township is a community of approximately 11,000 located 70
kilometers south of Ottawa. The Township officially launched their fibre
network in July 2001. As of August 2002 the South Dundas Economic
Development Commission has documented the following impacts:

o 537 new jobs in the 18 months since the network was announced

o Increased real estate development

o Increased retail sales

In terms of attributable impacts from the fibre network, South Dundas has to
date experienced $2.8 million in real estate expansion and/or development
over the last year.

In terms of economic indicators, macroeconomic impact modeling has estimated
the following impacts directly attributable to the fibre network:

o $16.7 million increase in retail sales

o 145 person years of employment

o $2.2 million Federal tax revenue

o $1.6 million Provincial tax revenue

The report states that most benefits can be shown to be attributable
directly to project, or to the environment created by the project Michael
Curri, Strategic Networks Group, 2002.

This example provides exciting validation for community owned networks and
the potential they can enable in smaller communities (South Dundas
population 11,000).

From the South Dundas Economic Development Commission: Fibre Optics website http://www.southdundas.com/fibreoptics.htm :

South Dundas is headed for development in overdrive. Our progressive
township has taken a bold stance for a small rural community and joined the
emerging markets of today’s technology. Spurred by the challenges to be a
sustainable community in today’s municipal world, South Dundas has become a
smart township.

For years we have been building roads and highways; now it is time to build
the information highway, says Township Mayor Johnny Whitteker. South Dundas
with a
population of close to 11,000 people has deployed a municipally owned fibre
optic network, and its new utility is ready for business. Not only ready, we are in business, states Economic Development Chairman, Cameron Martel.

The fibre project has produced a valuable tool for economic development in
South Dundas. The township becomes an attractive product; a product that
offers jobs and assessment to the municipal level and presents new business
an
affordable alternative to the high prices of the urban areas.

The Township officials recognized the vital importance of providing
high-speed, broadband communication capability to the communities of South
Dundas. To be
competitive, business and the public sector must be able to communicate with customers and suppliers quickly and efficiently, thus the South Dundas Fibre

Project was implemented in the summer of 2000.