Document text
Ashland will try to win Charter customers AFN's director tells city leaders he has a plan to speed up installations By TONY BOOM Mail Tribune ASHLAND - Ashland Fiber Network shifted plans a day after it said it wouldn't take advantage of a chance to sign up more high-speed Internet customers in light of a competitor's problem, the City Council learned Tuesday. The pending demise of Charter@Home high-speed connections has residents calling for AFN connections. Monday, AFN director Dick Wanderscheid said the network had no plan to expand its four-person installation force to take advantage of the possible business. But he briefed the council on plans developed Tuesday to meet the demand. Installers will work an additional 11/2 hours each day. Some also will work extra days. Sales personnel may also be trained to do installations where outside wiring is not required. "I would hope that there is the flexibility within the city to take advantage of these opportunities," said council member Susan Reid. "I can't imagine that we don't have enough money to hire people on a temporary basis." The shift came against the backdrop of the first AFN Advisory Committee report. The committee was created last summer after city budget hearings showed AFN deficits increasing. The committee developed a more conservative business plan that shows network profitability coming three years later than expected. The report also includes ideas for enhancing current services and offering new ones. AFN will lose money until the 2006-7 fiscal year, according to the new report. April's budget showed income in 2003-4. The cumulative loss will be $6.9 million in 2006-7, instead of a $3.8 million gain projected earlier for 2003-4. The network will show a total profit of $1.33 million by 2012-13. AFN borrows money from other city departments to fund operations, but that practice should end in 2014. Faster completion of the system, improved marketing efforts, assessment of true costs to city departments for services and adding channels that would pay for placement on the cable TV network are among 27 recommendations in the report. "We'll go though each recommendation and analyze it and get back to council," said Wanderscheid. "One of the recommendations is to speed up the build-out. In order to do that we have to budget extra money." Connection of areas with underground utilities has slowed hookup to AFN. About 1,200 of 9,000 potential customers cannot yet access it. All overhead cable installation is complete. Wanderscheid would not project when the build-out will be complete. "We've been so busy building we really haven't marketed," said Wanderscheid. He would like to see greater collaboration on marketing with the Internet service providers who offer hookups through AFN. One council member called for more information than the report provided. "What we have here is a spreadsheet," said council member Don Laws. "What I'm interested in is what led to the assumptions, what's the basis. I'd like to ask for a narrative summary of the business plan." Reach Ashland bureau reporter Tony Boom at 482-4651, or e-mail [email protected] Mail Tribune Home | Ottaway Newspapers, Inc. | Dow Jones & Co., Inc. | Privacy | Contact Us Copyright � 2001 Mail Tribune, Inc.