FCC Commissioner Tom Wheeler dismissed criticism of taking action to override North Carolina law on municipal broadband networks on Thursday: “As they say in North Carolina, that dog won’t hunt.”

Thus, the City of Wilson gains the right to expand its fiber network called “Greenlight.”

The full explanation from the FCC about the vote goes into detail about why the FCC believes it has the authroity to override state law.

But the issue is far from settled.

U.S. Senator Thom Tillis, a Republican, is already fighting back with legislation in Congress.

And legal challenges are expected as well.

“This issue is headed for the courts,” a technology think-tank executive, tells WRAL TechWire.

Before the FCC’s three Democratic members including Miller voted 3-2 to grant petitions from Wilson and Chattanooga, Tenn. to override state laws limiting municipally owned broadband networks, Miller cracked the “hunt” comment.

Numerous members of the audience at the FCC headquarters in Washington, D.C., laughed.

But the decision is not a laughing matter to critics or to proponents who realize the battle won’t end short of more legislative battles and perhaps in the courts.

While the FCC’s later decision to impose regulation on the Internet by another 3-2 vote drew much more media attention, the Wilson ruling could have a big impact in North Carolina where municipal networks are barred. Three existing networks, including Wilson’s, were “grandfathered” in the 2011. Tillis was a member of the N.C. House at the time.

“Wilson and Chattanooga certainly intend to expand their services in a competitive manner, but I would not expect any immediate plans for new buildout,” said Josh Stager of the Open Tech Institute.

“This is going to the courts, so municipal providers will likely wait to ensure that the FCC’s action gets the court’s blessing.”

Stager also said he doesn’t expect more cities to begin fiber planning.

“This is headed to the courts, so I would expect most cities to sit tight for now,” he explained.

“Importantly, the FCC has only preempted laws that prevent geographic expansion of muni networks. Outright bans on muni networks were not preempted, so your hands are still tied if you’re a city in a state with a total ban. I’m curious to see if any North Carolina legislators seek an outright ban in the wake of the FCC’s order.”

Wilson, NC cities hail vote

Wilson, which proclaims itself as North Carolina’s “Gigabit City” in reference to the ultra-high speed Internet that fiber enables, hailed the FCC’s decision. However, the city said it has no immediate plans for expansion.

The “historic decision now enables Wilson and other North Carolina municipalities to provide the Gigabit broadband infrastructure and services that North Carolina and America need in order to remain competitive in our emerging knowledge-based global economy,” said City of Wilson spokesperson Will Aycock in a statement.

“Wilson filed this petition not with immediate plans to expand into its rural neighboring communities, but to facilitate the future advancement of its critical Gigabit fiber-optic infrastructure over the long term.”

The North Carolina League of Municipalities also embraced the FCC ruling, noting that the league’s 540 members had opposed the initial N.C. bill which was lobbied for by private sector cable providers.

“In today’s world, high-speed Internet service is not a luxury. Communities that do not have access to this critical infrastructure will be left at an economic disadvantage,” said NCLM Executive Director Paul Meyer.

“[The] ruling by the FCC recognizes the crucial need of businesses and residents to have available to them high-speed Internet access to promote educational attainment and bolster economic opportunities for all North Carolinians, whether the Last Mile provider is a municipal government or a private company.”

“Last Mile” refers to the extension of networks beyond their core backbone to businesses, homes and organizations.

Tillis vows a fight

Just after the FCC ruling was made, Tillis announced a bill to override it, introducing the legislation along with Congressman Marsha Blackburn, a Republican from Tennessee. Tennessee and North Carolina are among the 19 states where laws regarding municipal networks have been passed.

Four House members from the state are co-sponsors of the bill: Robert Pittenger (R-NC), Renee Ellmers (R-NC), Mark Meadows (R-NC), and David Rouzer (R-NC).

“It is disturbing, yet not surprising, that the FCC and Chairman Wheeler are attempting to deny the sovereign right of states to make their own laws,” Tillis said in a statement.

“After witnessing how some local governments wasted taxpayer dollars and accumulated millions in debt through poor decision making, the legislatures of states like North Carolina and Tennessee passed commonsense, bipartisan laws that protect hardworking taxpayers and maintain the fairness of free-market competition. Representative Blackburn and I recognize the need for Congress to step in and take action to keep unelected bureaucrats from acting contrary to the expressed will of the American people through their state legislatures.”

The bill says the “FCC cannot pre-empt states with municipal broadband laws already on the books, or any other states that subsequently adopt such municipal broadband laws,” according to the announcement.