Due to new developments, new material is being posted to this website
and some dated material has been removed.
Get ready for a new way to receive telecommunications
in the City of Monticello
100% fiber optic services are on the way for telephone,
high-speed Internet access & cable TV.
FiberNet Monticello Lawsuit Update
June 30, 2008
At the May 23 Monticello City Council meeting, the fiber optics committee asked council to consider moving forward on the FiberNet Monticello project by constructing a subset of the larger project, called the Fiber Loop. which would include connecting important commercial, industrial and civic facilities in the Monticello area. The service provided would include high-speed data only. The Council approved advertisement for bids on construction of the fiber loop and will consider approving the contract for award of the project at some point in the near future.
The estimated cost to construct and operate the system is estimated at $1.74 million, with projected revenue being sufficient to cover capital and operation expenses. The project is fully separate form the legal challenge currently being presented by TDS Telecom.
In other FiberNet news, the council awarded Schulender Construction, Inc., the bid for the fiber optics head-end building site’s grading and utility improvements in the amount of $133,874. The improvements include grading the site to allow for construction of the head-end building and garage as well as the proposed outside storage area where the antennae/satellite dishes will be located and a 6-foot black vinyl coated chain link fence surrounding the site.
Council also approved the bid for the construction of the fiber optics head-end building to KC Companies, Inc., in the amount of $555,000 for the base bid and $14,500 for the alternate bid; well below the engineer’s estimate for the bids. Construction of the head-end building is planned for mid-August with final completion set for the end of November of this year. The building will be located south of the city’s newest water tower, which is off of School Boulevard, near River City Extreme. Council determined the location of the building at a meeting earlier this spring.
FiberNet Monticello Lawsuit Update
June 16, 2008
A court date of Friday, June 13 was set for a Motion hearing with the Honorable Judge Jonathan Jasper at Wright County Court in response to the recent lawsuit filed by Bridgewater Telephone Company Inc./TDS Telecom against the City of Monticello. At this Hearing the judge ruled that TDS is required to post a surety bond in the amount of $2.5 Million dollars within 7 days. If they fail to post the bond within the time allowed, the case will be dismissed with prejudice. In the event that the bond is posted, a court date has been set for Friday, July 18 at 9 a.m. so that a judge can rule on the City’s Motion to Dismiss the case.
FiberNet Monticello Update
May 27, 2008
On May 21st the City of Monticello obtained commitments from private investors to purchase revenue bonds sufficient to finance the establishment of a city owned and operated telecommunications utility called "FiberNet Monticello". Obtaining investor support for the FiberNet Monticello business plan is a true demonstration of the financial viability of the project and a key milestone in development of the system. An important factor in the success to date is the overwhelming support of the citizens as reflected In the 74% favorable vote In the September 2007 referendum.
On May 22nd the City Council was prepared to meet to vote on authorizing sale of the bonds. Less than 48 hours prior to that intended vote TDS Telecom through its subsidiary Bridgewater Telephone served a lawsuit against the City claiming that state laws do not grant the right to use revenue bonds for establishment of a telecommunications system, despite express language in the statute allowing revenue bonds to be issued for revenue based "utilities and public conveniences".
The City is confident that it is well within its legal rights to use revenue bonds to build a municipal network and that it will prevail against the suit. The City will vigorously oppose the law suit. Defense of the lawsuit is partially afforded through the City's membership in the League of Minnesota Cities Insurance Trust.
Both the timing and the grounds alleged in the suit lead to the impression that the suit was intended to interfere with the award of the bonds and create additional costs for the City project.
The City plans to move forward with the project and its bond managers will continue to prepare for the bond sale which will include a disclosure to investors of the existence of the lawsuit.
All other aspects of the FiberNet Monticello project have gone forward successfully on schedule including network engineering, construction planning and negotiating a management contract.
The goals of the FiberNet project remain the same: choice of service provider; competitive rates; local service; local ownership; economic development and economic returns to the community. We will need the continued support of the citizens of Monticello to overcome the legal obstacles TDS/Bridgewater Telephone is placing in the path of FiberNet Monticello.
Articles and Information Related to Monticello Fiber Optics:
Debating Municipal Broadband
Video Chat with Christopher Mitchell
NEW! Municipal Broadband: Demystifying Wireless and Fiber-Optic Options
Written by Christopher Mitchell
[Downloadable PDF, 1.3 MB]
Overview of Competitors to FTTH
This short paper looks at the technical issues faced by incumbent providers and compares FTTH
(100% Fiber to the Home) to the existing technologies.
[Downloadable PDF, 144 KB]
MORE ARTICLES/INFORMATION >>
Be sure to check this website for ongoing updates to the
Monticello, Minnesota fiber optic project!
Quick FAQs on the Monticello City-wide Fiber Network
