Document text
Ashland fiber system opens for business By DANI DODGE ASHLAND -- Ashland Fiber Network is here. Really. Outside requests ASHLAND -- After getting requests from people outside the city, Ashland officials are considering expanding the Ashland Fiber Network's cable and high-speed Internet services beyond city boundaries. "The more subscribers the better. ... It will lower cost in Ashland and prevent rate increases," said City Administrator Mike Freeman. "It's basic business." But some city leaders are concerned about the plan's possible consequences, such as encouraging sprawl and commercial growth in the county. Ashland Fiber Network is a system of fiber optic cables connected around the city to provide high-speed data services, high-speed Internet and cable programming. The city has encountered repeated delays in hooking up residential customers with cable and high-speed Internet service, but one customer was hooked up last week and a handful more will go online this week. Talent Mayor Marian Telerski said she'd be pleased to have AFN available in her city, although it would require City Council approval. Talent Councilwoman Joi Riley was even more enthused. "I think it's just the most terrific idea. I just love the idea," Riley said. "I can't say enough because I see it as a transportation issue and I have a vision for Talent where people will work at home and quit using these internal combustion engines, and fiber optics will definitely enable us, won't it?" Ashland Councilwoman Carole Wheeldon said she is glad city staff members are looking into the future, but said "There's a lot to talk about in an arrangement like that. For my part there's a lot of questions still to be asked." Mayor Cathy Shaw said she is vehemently opposed to allowing AFN outside the city's urban growth boundary. "I think it's a horrible idea," she said. "I think it will fly in the face of everything we want to do in a tight urban form. "You want what the city has to offer, get in the city." Ed Pentkowski actually watched Super Bowl XXXIV on the city's new cable television service. "It was great," the retired electrical equipment operator said. "The reception is better than Charter. We're saving a little better than $10 a month and get more channels." After many delays, city crews hooked up the first customer Friday and expect to hook up about 50 more this week. City officials expect to have AFN, a cable and high-speed Internet service, available to the entire city within 18 months. AFN is the first municipally owned telecommunications network in the state, and is competing head-to-head with privately owned Charter Communications for the hearts, televisions and computers of Ashland. "This is community-owned," said City Administrator Mike Freeman. "And people now have a choice about programming." The city borrowed $5.2 million to build the network that provides high-speed data services to businesses as well as the cable and Internet service. The city staff expects AFN to start turning a profit between the fourth and fifth years of operation. The debt is scheduled to be paid off in 10 years. Ashland, which already provides electricity to its residents, began considering building its own telecommunications network in 1996. City officials were concerned about passage of legislation deregulating the electrical industry, and saw an opportunity to make the city's services more attractive by diversifying into the telecommunications market. Also, at the time there was no high-speed Internet service or high-speed data service in Ashland, although since then Charter has begun providing high-speed Internet service. The council decided to build the fiber-optic ring in 1997 with an initial focus on improving the efficiency of city utilities such as through automated meter reading. The city began providing high-speed data services to Southern Oregon University and the Ashland School District this fall. The high-speed data service creates a network communication system that allows distance learning and video conferencing among its high-tech benefits. AFN's other two services -- cable television and high-speed Internet service -- were initially projected to be available in June 1999. But the city was beset with delivery delays, officials said. Ashland's orders for items such as coaxial cable and other specialty purchases were small in comparison to big companies, and Ashland's requests weren't a priority. "We are a small fish in the big pond," said Ann Seltzer, the city's communications and marketing manager. "The big fish like AT&T were ordering at the same time, and we were at the bottom of the list." But now the waiting is over for a few Ashland residents. The city is connecting residents in groups of about 250 households at a time. People who live near Ashland Community Hospital are first. Those who contacted the city before AFN was available were getting the boxes connected outside their homes last week and this week. City staff members are setting up appointments to bring the wiring inside the homes. Norm Giese, an 81-year-old retired Defense Department worker, is one of those at the top of the connection list. Giese wants the Internet service for its high speed and so he doesn't have to pay for two phone lines into his home. He wants the cable service so he can watch programming not offered by Charter Communications, such as Turner Classic Movies, Home and Gardens Television, and holistically-oriented Wisdom Television. The other 500 or so residents in the first two hook-up areas will be getting letters this week and next week informing them about AFN availability in their area. Charter Communications has vowed to compete heartily with the city's newest venture. "We are taking the approach that nobody can beat us," said Tom Coleman, Charter's regional manager. "We not only have the best products, but the best pricing also, and certainly we have the service organization also to back up what we are doing." Freeman said that everyone will benefit from the competition. "I'm sure we never would have gotten high-speed Internet (from Charter) if AFN hadn't been on the way," he said. "And do you think they would have lowered their prices?" The city is relying on people like Pentkowski to make their foray into telecommunications a success. He likes everything about his new service -- even the cable guy. "That young installer that came out was just so personable." Pentkowski said. "He was just a great young fellow and did a heck of a job." Today's Edition : News | Sports | Business | Weather | Tempo | Classifieds Mail Tribune Copyright � The Mail Tribune 2000, Medford, Oregon USA