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April 9, 2015

Alan P. Dye

Heidi K. Abegg

Webster, Chamberlain 8. Bean, LLP

1747 Avenue, NW, Suite 1000
Washington, DC 20006

Re: Cease and Desist Letter dated March 5, .2015 to CREDO Action
Dear Mr. Dye and Ms. Abegg:

I am writing in response to your March 5, 2015 cease and desist letter, sent on behalf of
your client, the American Legislative Exchange Council (ALEC), directed to CREDO Action.
Your letter claims that that the CREDO Action petition ?Stop Verizon and Comcast from
blocking fast and affordable internet access? ("Petition") makes claims that are purposely false
or exhibit a reckless disregard for the truth. You demand that CREDO Action remove certain
material from its website and issue a retraction and correction of statements made on a CREDO
Action petition page. CREDO has carefully reviewed your letter and, for the reasons set out
below, has determined that our statements, to the extent they constitute factual assertions, are
true. Accordingly CREDO declines to comply with your demands.

Your letter objects to the Petition?s assertion that ALEC is ?working to make sure" that
?affordable, lighting fast internet access at your home? made possible by municipal governments
?never happens.? Your letter further challenges the Petition's assertion that ALEC ?is now
pressuring state legislature around the country to ban cities from offering broadband internet
access."

First, contrary to your claim, these statements do not ?contradict publications?
but are entirely consistent with them. own Communications and Technology Task
Force page on municipal broadband, 
advances the position that broadband should not
be provided by local governments:

There is no question that broadband will becomes as ubiquitous as the traditional
household utilities. But does it deserve the same classification as water sewer,
roadways or school systems in being provided by the government? A growing number
of municipalities are answering ?yes? by building their own networks and offering
broadband services to their citizens. ALEC disagrees with their 

(emphasis added). Telecommunications Deregulation Policy Statement,
goes
further in stating that ?Local government provision of wholesale or retail telecom, cable TV,
Internet or other broadband services in competition with existing private sector providers should
be prohibited? (emphasis added).

@2011 CREDO 8 Printed on chlorine-free.100% post?consumer recycled paper. 2986 02m

Second, your letter takes issues with the statements that ALEC is ?working to make sure
it never happens" and ?Is now pressuring state legislatures.? You assert that ALEC ?does not
lobby state legislatures? but is merely ?a think tank for state-based public policy ALEC
is not, however, a neutral purveyor of policy solutions. model legislation is designed to
promote, among its members who are state legislators, particular policy positons and it is the
manifest intent of ALEC to persuade legislators to adopt those particular positions. The
Minnesota Campaign Finance and Public Disclosure Board finding,
you cite as
evidence that ALEC does not lobby state legislatures, itself states that mission ?is to
influence public attitudes and legislative action in the nation as a whole.? To ?influence?
?legislative action? is to lobby, by any commonsense de?nition and for'purposes of any number
of laws as well. That ALEC has (arguably) not been required to register as a lobbyist in certain
states does not in any way render untrue what own actions and statements clearly
indicate: ALEC attempts to influence legislative outcomes. 

Not only does ALEC attempt to influence legislative outcomes, it clearly succeeds in
doing so. As recounted in a 2011 Bloomberg News article, model legislation on
municipal broadband was the principal reason why cable companies were able to block
Lafayette, Louisiana from offering high speed lnternet access to its citizens. ?Past-?Wanna buy
a law,? 201 201 1 .html#p1

Under these circumstances, the language used in the statements you challenge?
?working to make sure it never happens? and ?pressuring state well within the
bounds of political discourse in making the point that ALEC's model legislation and positions
have the intent and effect of encouraging enactment of state legislation effectively banning cities
from offering broadband lnternet access.

For these reasons, it is clear that the statements challenged in your letter are not falser
and not defamatory. Accordingly, CREDO declines to comply with any of your demands.

If you have any questions concerning the above, please contact the undersigned.

Sincerely yours,

KM

Becky Bond
CREDO Action