Hilltown broadband network advancing
LEVERETT - News that the state is beginning work to provide poorly served towns and neighborhoods with high-speed Internet service was welcomed in Leverett this week, where an ambitious plan for a municipal broadband network was recently approved by voters.
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#1 Jul 27, 2012
Monticello Minnesota embarked on a like project of city wide fiber. Same concept as Leverett and the result was the cost of the premium fiber service exceeded the cost of DSL and coax services that not enough users signed up.
Net result was the profits from the towns booze store had to be used to fund the fiber service. AND the town ended up defaulting on the fiber service bonds which caused the bond rateing to be reduced which increased the cost of bonding for town projects.
Also, the booze store profits were earmarked for road improvements so town roads are NOT being maintained.
The vendor "Hiawatha Broadband Communcations" has removed itself from the project and now "Gigabit Squared" another fiber pimp has been hired to attempt to "right" the fiber ship.
Levertt MAY be traveling the same route. Existing ISPs WILL lower their rates, only 30% of Leverett voters approved the fiber project, profit needed to pay for the fiber project is based on a high percentage of resident usage, same as Monticello. A huge loan is needed to fiber each residence who may not use the fiber.
In Monticello Minnesota residents DID NOT sign up for fiber and the project failed is on life support.
When Government starts a business because of Monopoly powers it has any projects can quickly fail and end up damaging a town for years to come.
Many see these projects as a way for elected officials to snag a job or paybacks from vendors in one form or another. BTW paybacks can be invisable.
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