Among the possible scenarios were two main ones to bring fiber to the full BPW service area, or just to the City of Holland. The BPW would become an ISP to sell retail internet service.
To bring it to the full BPW service area requires a build out cost of $63,239,000. Limiting to just the City is $29,756,000.
The study suggested financing with a combination of bonds and loans, though other options are possible. The utility would be net income positive in year 7.
For 1 Gbps (1,000 Mbps) service, the cost to consumers would be:
The biggest assumption in the plan is the “take rate”. This simply means the number of subscribers. To make these numbers work, they need 39.6% take rate, meaning 39.6% of the possible homes need to sign up for service.
Since no immediate action was taken at the meeting, we will be discussing with the City and BPW to move this forward. Look for many more updates in the coming weeks. We need to keep up the momentum, and will need your help.
Finally, join us Tomorrow (Tuesday, April 12) at the Early Bird Breakfast where we’ll be discussing broadband with BPW.