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WASHINGTON – Despite widespread public opposition, Pennsylvania Gov. Ed Rendell signed a bill late last night that will prevent local communities across the state from providing broadband Internet services that compete with companies like Verizon.

A broad coalition of groups — including local and national media reformers, city officials, public power companies and private entrepreneurs — flooded the governor’s office with phone calls and e-mails over the past week, urging him not to allow powerful corporate lobbyists to strong-arm the statehouse into legalizing an anti-competitive monopoly. But Rendell sided with Verizon, turning his back on free market competition and public service priorities.

“It is a shameful day when one company can effectively seize the reins of power from every democratically elected city and town council across the state,” said Josh Silver, executive director of Free Press, the national media reform group. “This decision guarantees that the citizens of Pennsylvania will receive higher prices and worse service — assuming they can even access broadband Internet where they live.”

Pennsylvania’s House Bill 30 offers local telephone companies like Verizon the right of first refusal before any city or town can offer competing telecommunications services. It’s also larded with $140 million in subsidies for broadband deployment — most of which will go straight into Verizon’s already bulging pockets.

Rendell tried to soften the blow by citing an agreement made at the 11th hour in which Verizon promised not to interfere with wireless broadband plans in Philadelphia. But the agreement does not protect other communities in the state planning similar systems. “Philadelphia’s short-sighted bargain with Verizon leaves the rest of the state high and dry,” said Free Press policy director Ben Scott. “Verizon may be promising not to interfere in Philadelphia’s plans — but since when does a city need a permission slip from the phone company before providing a necessary service for its own citizens?”

The ramifications of this bill will be felt far beyond Philadelphia. Similar bills designed to thwart competition and prevent municipalities from providing affordable Internet access have already been introduced in more than a dozen other states. While the big telecom companies will likely go on the offensive in other states after this victory, Free Press is launching a campaign to encourage state and local governments across the country to pass resolutions in support of municipal broadband and community wireless systems.

“This is a major defeat for the citizens of Pennsylvania that will resonate throughout the nation,” Silver said. “Affordable, universal Internet access should not be held hostage by the whims of a few telecom lobbyists. We’re calling on local and state lawmakers to declare their commitment to policies that will encourage more access to broadband Internet technology in communities that have been overcharged and underserved by the big telecom companies.”

For more information on the benefits of community wireless see http://www.freepress.net/wifi/.

Free Press (www.freepress.net) is a national, non-partisan organization that seeks to increase informed public participation in media policy and to promote a more competitive, public interest-oriented media system. Free Press was founded by University of Illinois professor, media scholar and author Robert W. McChesney.

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