by Timothy McQuiston Vermont Business Magazine Governor Phil Scott today announced the arrival of an AT&T Cell Site on Wheels (COW) at Grace Cottage Hospital, which will reinforce and enhance wireless network coverage for the hospital and the surrounding area. Grace Cottage, the state's smallest hospital is located in Townshend in Windham County. The hospital and surrounding area were facing a loss of coverage due to a potential shutdown of wireless provider CoverageCo. A press release issued Monday afternoon stated that the governor worked with AT&T to ensure there would be no coverage gaps in the hospital’s critical operations. However, this does not replace lost service in the rest of the CoverageCo areas.
Within five daysof the governor’s initial request, an AT&T COW arrived in the Grace Cottage parking lot. This equipment will provide more AT&T coverage than was previously available. There had been no cell service at the hospital or in the immediate area other than from CoverageCo.
“Ensuring Grace Cottage Hospital does not see a lapse in wireless network coverage was a priority as we work to support the entire area impacted,” said Scott in a statement. “I appreciate AT&T’s partnership in identifying and providing this solution for the hospital and surrounding area, and the continued work of our Department of Public Service, Agency of Commerce, the Legislature and local officials on this issue. This kind of civic-minded cooperation is commendable and essential to addressing challenges like these.”
Grace Cottage Hospital and Townshend are new coverage areas for AT&T. In addition to the COW, AT&T has plans for a permanent cell site in Townshend as part of the company’s FirstNet nationwide first responder network, which benefits public safety and citizens alike.
“We were happy to work with Governor Scott and be able to quickly respond to this need for coverage in a critical area,” said Patricia Jacobs, President of AT&T New England, in the statement. “In addition to the immediate coverage provided by the COW, AT&T is committed to further reinforcing and enhancing coverage for this area through FirstNet and supporting public safety efforts in whatever way we can.”
Scott sought assistance with the Grace Cottage Hospital site when it appeared that the CoverageCo micro cell network would shut down at the beginning of April. Beginning in 2012, CoverageCo has been under contract with the State of Vermont to build a wireless network of small cell sites in rural areas, completing 160 of a planned 500 nodes over the past four years.
However, in the face of mounting management difficulties, CoverageCo’s small cell network in Vermont may shut down, jeopardizing cell coverage along rural roadways in some of Vermont’s most remote areas, as well as for some school facilities, public safety outlets and Grace Cottage Hospital. As of last week, only 56 cell sites were still operating.
As first reported by Vermont Business Magazine, CoverageCo is in debt to its vendors, from the local utilities for electricity, to backhaul providers like Fairpoint, to the state of Vermont itself. The service provided 2G cell and 911 service to rural areas otherwise without any service in parts of Southeastern Vermont, Orange County and Northwestern Vermont.
Efforts to find a new buyer to take over the service have not been successful, but last week the governor met with a potential buyer, as well as legislative leadership, to try and find a way to fund the existing 2G service.
Former CoverageCo CEO and potential buyerRich Biby told VBM that saving the service would require state funding of the e911 service and AT&T participation in cell service roaming. AT&T never did participate in the CoverageCo service, which, Biby said, left a significant gap in CoverageCo revenues because of a loss in roaming charges. It also meant that any AT&T cell phone user could not make a regular callor access data through CoverageCo, though they could reach 911 service.
The new COW service for Grace Cottage does not address the CoverageCo service issues. FirstNet is intended to provide first responders with cell service for most of Vermont, but does not guarantee service in all parts of the state.
“We’ve been working diligently to find reasonable and sustainable pathways to preserve the gains made in these rural areas, and we are grateful to AT&T and the many partners who’ve joined us in this effort,” said Public Service Commissioner June Tierney in the statement.
Tierney added that addressing the compelling and complex issue of expanding cell coverage in Vermont’s hard-to-reach areas will remain a priority for the Department.
“CoverageCo is a small private enterprise that has taken a run at the large economic challenge of bringing cell service to parts of rural Vermont where a sustainable business model has yet to materialize,” she continued. “We will continue to explore all reasonable options to help find an enduring and affordable solution for these communities.”
As for CoverageCo, DPS telecom chief Clay Purvis told VBM via email: "The Governor would like to see the E911 service provided by CoverageCo continue until other solutions become available.
"The Department intends to continue working with the legislature to identify whether there is a reasonable and limited legislative path to temporarily alleviate the financialpressure on CoverageCo from its obligation to pay E911 fees. The Department is also reviewing whether there is a fair and reasonable tariff that the utilities could adopt to provide service to CoverageCo that could help the company's business case without undue impact on utility ratepayers in the areas where CoverageCo operates.
"In light of CoverageCo’s financial difficulties, the Department is reviewing the terms of the remaining capital appropriation to the former Vermont Telecommunications Authority to determine whether it would be legally permissible and prudent from a policy point of view to put this funding toward supporting a program aimed at targeting expansion of cell coverage in and around public facilities and village centers that lack cell service today."
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