The city of Franklin, KY transfered ownership of its fiber optic network to the Franklin Electric Plant Board (EPB) for $2.5 million. The Franklin City Commission unanimously approved a resolution for the transfer of ownership at the June 8th meeting. The network, although no longer maintained by the city, is still under local control. The EPB is an extension of city government, but has its own board of directors. Pleased with the city’s decision, Mayor Ronnie Clark stated:
“Broadband is now the new utility, and who better to deliver those services than the local infrastructure experts, EPB. They have the manpower and the equipment, as well as the community’s confidence in providing reliable utility service and exceptional local customer support.”
The city developed the 32-mile fiber optic network to encourage economic development by providing broadband to local businesses. The network attracted to new businesses including a distribution center from Tractor Supply Company. Currently, the network supports Internet connectivity to more than 40 business and industry customers in Franklin. The EPB hopes to continue to expand the services:
“This network will be an excellent fit for us operationally, and will enable us to expand our role in serving our customers with the most robust broadband services available. We have big plans to add new services and grow our broadband customer base,” said General Manager of EPB Bill Borders.
In this $2.5 million deal with EPB, the city will recoup the $2.5 million cost of constructing the network. Originally, the city funded $1.5 million with bonds and received a $1 million grant from the U.S. Department of Commerce Economic Development Administration. The sale of the network to the EPB will pay off a $1.3 million bond issued to create the network and the remainder will go into the general fund.
This article is apart of MuniNetworks. The original piece can be found here