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June 1, 2007

Toledo, Misinterpreted

By Glenn Fleishman

The Toledo Blade continues to write somewhat inaccurately about MetroFi’s proposal to the city: The newspaper is owned by Block Communications, which also owns a potential competing bidder that the city said didn’t provide a viable proposal by the deadline. The story says that there’s a debate over whether Toledo will pony up $2.2m to have MetroFi build a city-wide network. But regardless of whether there’s a debate, that’s not what the deal is.

The $2.2m represents services that Toledo must commit to purchase from MetroFi in order for the service provider to offer advertising-supported free public access in addition to municipal services. MetroFi confirmed via email that that’s the case, as in other cities they are currently negotiating with. City officials are quoted in the story noting that services they pay for separately now would likely be replaced under that contract: “it would result in no net increase in the city budget,” they are paraphrased as saying. In yesterday’s Blade story, a city telecom official cited at as much as $1.5m that would be replaced in the new services contract.

A councilman argued the cost is too high—but seems to believe the cost is a payment rather than a services agreement—and that Block’s Buckeye Cable Systems should be considered to build the network. The city said that MetroFi submitted a full proposal for building a network, while Buckeye offered some ideas about how a network might be built.

The council president seems inclined to move ahead if the expense is revenue neutral.

Posted by Glennf at June 1, 2007 1:32 PM

Categories: Municipal

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