Emergence of Wireless Pole Attachments in Chelan County Tri-Commission Presentation March 28, 2017

Overview Wireless industry growth What are wireless attachments Implications for local governments in Chelan County Strategic considerations/Next steps Questions 2

Wireless Industry Growth The “Internet of Things” (IoT) connects cars, homes, wearables, and everyday objects to each other The IoT is growing exponentially – Number of connected devices worldwide: 2 Billion in 2006 15 Billion in 2015 50 - 200 Billion projected by 2020 3

Accelerating Demand Expecting in excess of 50% continued year-over-year increase in wireless data consumption Requires increased data capacity Requires improved coverage and density Installing macro cells (large towers) is not always feasible to address increased coverage needs Alternatives to large cellular towers: Small Cells DAS (Distributed Antenna Systems) DAS nodes and small cells transmit at signal power levels that are much lower than macro cells (i.e., large towers) and tend to be deployed at low elevations in areas where macro cells would not be feasible. 4

Small Cell An umbrella term for operator-controlled, low-power radio access nodes, small cells typically have a range of approximately 600 feet Small-cell solutions are typically deployed to provide enhanced coverage or capacity in smaller targeted areas. A small cell normally only serves a single carrier. Small cells require much less up-front design work, planning and capital investment than DAS. 5

Distributed Antenna System (DAS) A network of antenna nodes connected to a common source via a transport medium, which provides wireless service within a geographic area DAS offers a more broad area of coverage that has the capability to address a wider range of capacity and coverage challenges. DAS can accommodate multiple carriers – generally up to four. 6

Utility Pole Example Streetlight Example 7

What is Happening at the State/Local Level Local governments receiving requests from carriers and other companies (like Verizon Wireless) for new tower sites, expansion of existing sites, or pole attachments to support small cell facilities and DAS Localities (or their utilities acting on their behalf) are often unfamiliar with their rights or duties under evolving federal and state laws In particular, when/how “shot clocks” apply and when/how applications can be conditioned or denied Local zoning, telecom, franchising, and other rules and procedures – where they exist at all – were typically written for macro tower siting and need updating to address small cell and DAS facilities Local government moratoriums have become common in order for localities to better understand these issues 8

We tend to know what we don’t want… Bulky and noisy antennas and equipment on poles that disrupt community aesthetics and system operability 9

Wireless Siting Goals & Values Ensure cost recovery for use of the public right of way (PROW) Ensure cost recovery for attachments to facilities Facilitate (and encourage) efficient deployment of valuable broadband services for County residents and businesses Maintain local governments’ obligation to provide reliable services, ensure public & employee safety, and protect public resources In reviewing, negotiating, and approving the siting of wireless facilities within the public right of way (PROW), local governments must navigate sometimes-competing interests 10

Key Technical Issues to Address Small wireless facilities and networks (SWFNs) pose new operational, safety, aesthetic, and other issues Employee Safety Hazards and obstacles on the poles RF considerations Interference With Utility/City operations and wireless systems Particular concern as Wi-Fi access points are deployed Need for technical standards and code updates Input from carriers, employees Additional considerations: Staffing for new technologies and technical analysis Staff planning and augmentation if necessary to accommodate substantial permitting and inspection requirements for new applications Current rate formulas do not work for SWFNs Need to account for additional space usage Need to account for impact on potential future use of pole 11

Strategic Considerations/Next Steps Ensure local governments are working in sync Staff collaboration of both pole owners and PROW administrators Prioritize and protect core interests and values Listen carefully to industry and consider workable tradeoffs Continue awareness of developments across the Country and act proactively 12

Questions? 13