 pnh102Reptiles Are Cuddly And PrettyPremium
join:2002-05-02
Mount Airy, MD | reply to Minister
Re: ?!?!?! said by Minister:
Isn't that what viability studies are for?
LOL! The purpose of any viability study is to convince the government that something is worth paying for. The prices quoted are always way below what they will actually cost. Programs like the "The Big Dig" and Medicare immediately come to mind here. The government would have never funded them if they were proposed at their true costs, but when an artificially low cost is presented, it has a higher chance of being accepted by the government.
said by Minister:
Can you name any munis based on these bonds that have failed and been forced to dig into taxpayer pockets?
Every municipally run broadband operations skim profits off of other municipally run utilities, which achieves the same effect as having taxpayers pay for it. Namely, someone who doesn't want broadband is subsidizing someone else who does. The most extreme example I can think of off the top of my head was the City of Tacoma, WA which raised municipally-provided electric rates 50% after it had gotten into the broadband racket.
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 batageekSlave To The DuopolyPremium
join:2003-01-25 | From »www.tricitybroadband.com/failures.htm
Tacoma, Washington
This is news to the folks in Tacoma, whose municipal broadband utility is operating IN THE BLACK and has not resulted in a tax hike. What has happened in Tacoma is that they are not reaching their projected market share as quickly as they predicted. But the utility is alive and well and making money. Check out their public utility. Click the "Click! Network" link on the left side of their page.
And read this recent article in Wired News about Tacoma ...
The Charge: To pay for increased capital costs for their fiber system, Tacoma Public Utilities imposed a 50% surcharge on local electric bills.
Response From The Utility: " I am aware of your citizens group, your upcoming Tri City Broadband Referendum and the aggressive media campaign by those in opposition to your efforts. I review DSL Reports regularly and would like to set the record straight about Click! Network, for those who are interested in facts rather than propaganda.
Click! Network was constructed primarily for the utility’s use, and would have been built whether we deployed commercial services (cable TV, Internet services and data services) or not. I’ve attached a document with a brief history, in hopes the accurate story about Click! will be shared.
To date, Click! serves 21,500 cable TV customers (32% of the homes the network passes), 6,500 high-speed Internet over cable modem customers, and several dozen businesses with high-speed data lines. Our commercial revenues are covering our operating expenses. Efficiencies to the utility have been considerable since Click! facilities are connected to remote terminal units on utility poles around the city. Electric technicians can monitor the health of the power network and dispatch repair crews to exact locations, in a fraction of the time it use to take. Eventually, the utility will be able to automatically connect and disconnect power services and read meters, increasing operational efficiencies.
Attempts by others to thwart competition should be examined carefully. Competition in Tacoma has meant increased customer service by all providers, lower prices, more choice and a boost to economic development. Since Tacoma Power’s investment in Click! Network, the City of Tacoma now markets itself as “America’s Most Wired City” and has lured high-tech businesses to the area.
An important note, those opposing your efforts have erroneously connected Tacoma Power’s surcharge during the energy crisis with Click! Network, when in fact the two have no connection at all. At the beginning of the energy crisis (winter 2000), Click! was already constructed in Tacoma and Tacoma Power had over $100,000,000 in cash reserves, which is triple the amount we carry on an operating basis for contingencies. The utility was determining the best way to invest it when the energy crisis hit. Unfortunately the $100,000,000 was not enough, and the utility chose to initiate a surcharge.
Those with questions about Click! Network can find additional information at our web site at www.click-network.com. Sincerely, Diane R. Lachel,Government and Community Relations Manager, Click! Network, Tacoma Power"
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