Brigham City Council took one final risk Thursday night, voting three to one to build the UTOPIA fiber optic network throughout Brigham City at a cost of $5,515,924. Brigham City will be responsible for $655,384, several businesses anxious for fiber optics will pay $50,000 and the voluntary assessments from individuals who have signed up or will sign up for UTOPIA will pay for the balance of $4,810,540. Councilwoman Ruth Jensen gave the dissenting vote.

There have been 1,604 individuals who have signed a voluntary agreement to cover the $3,000 cost of installation of fiber to the home. Those individuals will pay a lump sum prior to service or $25 a month for 20 years with a lien on their property until it is paid off. A number of business have also signed up for UTOPIA.

However, only three of the six designated districts had a high enough number of individuals to pay for the installation. Those three districts account for 1,000 of those who signed up. Without the council's action, the remaining 600 would not have had access to UTOPIA.

Several of those individuals spoke during the public comment period, prior to the council's vote. Kris Powers asked the council what they would tell the individuals who signed up but wouldn't be getting it because there weren't enough in their area. “They believed in the project and trusted that our city would be making sure that everyone would have access. Do we only plow snow from streets where the majority of the cars drive? No, we make sure that every street is plowed regardless of how many cars drive on it. This is a city infastructure therefore, the entire city has the right to have access to it.

“Eight years ago an incumbent city council person could see that our city needed something more in order to stay a viable community. That individual ran for the position of mayor. We the citizens voted that individual into office full well knowing that fiber capability was one of the main priorities on the agenda. Since that time the mayor and city council members have moved forward with the UTOPIA project and we didn’t object. In fact, I don’t remember there being much talk about it for several years. Now it is coming to fruition and some members of the community are balking, where were those people eight years ago? We trusted our elected officials eight years ago to do the right thing and I trust you now to follow through and see this project to the end for the benefit our our entire community, not just for a few,” Powers concluded.

Larry Terry has been told year after year that build-out of UTOPIA was imminent but he's been disappointed. Now that UTOPIA is finally here he was told his area had too low of a take rate and wouldn't get UTOPIA in his area. He was also told he should have done a better job getting his neighbors to sign up. His frustration and resentment levels have continued to rise.

A local internet service provider Ken Sutton said he was originally an opponent of UTOPIA but then he learned more about it. He said because it is an open network he can finally compete with the big companies because everyone pays the same price to use the network. “Let's get it built,” he said.

Two Qwest representatives spoke as well. Mike Christofferson said he objected to the city's proposed action. He has some real concerns about the consent agreement citizens have signed and a possible violation of their mortgage agreements. He asked the council not to take any action.

Eric Isom of Qwest said he wondered about what information was given to citizens when they were asked to sign the consent agreement. He also wondered how private companies could compete against a city-financed public monopoly and was concerned with the idea of requiring citizens to choose to encumber their property in order to get on board with UTOPIA. He reminded the council and those in attendance that Qwest offers fiber to the node here in Brigham City.

Fiber to the node refers to bringing fiber optic cable to a common connection point and then using existing infrastructure for the connection to the home

Steven Hansen, who lives on the former Indian school property, said that area won't ever be developed unless it has fiber optics. Anyone coming in will want that option. He also assured the council he had never been misled with incorrect information from UTOPIA.

Jerry Ohman pointed out that the city has taken risks in the past and now the city is thriving because of those earlier decisions. He cited the power plant built in 1902 and the reservoir in Mantua in the 1960s.

Qwest is the reason this process has taken so long, Ohman explained, referring to a lawsuit filed by Qwest. UTOPIA would have been up and running years ago without Qwest's interference.

Chad Brazelton lives in the UTOPIA test area and has had it for about a year. He's been pleased and impressed with what he's got. “We need to broaden our horizons. We need to get it on every street and every block,” he concluded.

Bonnie Germer asked the council what would happen if UTOPIA failed after having driven out the competition. UTOPIA has contracted with the city. The city can't go back on the contract but UTOPIA already has. “Brigham City can't afford this. How deep is too deep,” she said.

Germer said it's like the national health insurance issue. “In Brigham City it's starting to look like a takeover,” she concluded.

Council Discussion

Councilman Reese Jensen said the council's move will up-front the money for when other individuals and businesses sign up in the future. A portion of the $3,000 assessment they pay will go toward the city's original up-front money. “We're not putting up any money we won't get back.” he said. “We owe it to the whole city to give this option to everyone. All the citizens are taking the risk, all should be given the opportunity to sign up.

“If we don't do this about 40 percent of those who want UTOPIA would be left out,” Councilman Bruce Christensen said. “No one wants to find themselves in this situation. We wanted Qwest or Comcast to build the infrastructure. We begged them but we couldn't get the time of day,” he said referring to efforts in 2002. “ We're paying $3,000. I don't like that one bit. But we have to take advantage of this. If we don't we'll be paying the pledges.

“No one likes where we are but here we are,” Christensen continued. “If we knew then what we know now we might not have gone forward. UTOPIA isn't for everybody but I have a 92-year-old neighbor who can't wait for it. She downloads pictures of her grandkids and she is sick and tired of dial-up.”

Councilman Scott Ericson said that if the whole city is going to pay, he doesn't feel good about giving it to only part of the city.

“The city isn't going to be on the sidelines,” Ericson continued. There needs to be an agreement that gives Brigham City “the ability to hold their feet to the fire,” on the project.

“I don't doubt the technology,” Councilwoman Ruth Jensen said. “I doubt management and the people running it. I'm not confident of UTOPIA. For seven years they keep wanting more. They came and dumped this in our lap. I think it's wrong. They have no business being in telecommunications.”

“The $5.5 million on top of the pledge, that seems like a lot of money. I can't justify this,” she continued.

Jensen said she doesn't doubt the citizens. They have given 110 percent.

Mayor Lou Ann Christensen said dedicated people have been meeting and trying to find a way to get fiber optics for many years. “We've had good intentions all the way along. We've had hurdles and walls we couldn't have imagined.”

She also drew a parallel between the power plant in 1902. People wondered why they needed light bulbs if they had candles. The same foresight brought Brigham City the Mantua Reservoir, which is what made it possible to bring Proctor and Gamble to the county. And fiber optics are just as vital at this point, Christensen concluded.

Councilwoman Jensen said she knows UTOPIA will be good for Brigham City. “I don't question the technology. I like my light bulbs,” she concluded.

Now what?

UTOPIA's executive director Todd Marriott explained, “We are your staff. We have a very good deployment plan. It's being deployed in the next few months. Brigham City will be one of the best connected cities in the world.

“I've got an awesome suggestion for Qwest,” he continued. “They are more than welcome to come on board. This is my 25th official invitation to them to ride our fiber to the premise. We've been open to Qwest since 2004 to ride the fiber. Comcast also.”

When the voluntary assessment bonds ($4,810,540) are issued, that money will be placed in an escrow account controlled by an independent trustee. The trustee will release funding from the escrow account only when supporting documentation for all expenditures has been received. That documentation includes, at minimum, a written request from the city to release the funds and/or purchase orders, invoices and check copies for all expenses that have been paid.

The amount of the assessment bonds will increase if the number of people signing up for the assessment increases between now and December 7, the date scheduled for closing on the bonds. The amount the city is responsible for (which is currently $655,384) would also decrease.

“The Brigham City Council has identified areas where the funding for the $655,384 cost for the connecting of fiber to city sites and finishing the build out to the entire city can be obtained,” Financial Officer Jason Roberts explained. “Items currently in the 2009-10 fiscal budget were identified that could be re-prioritized and the possible use of fund balance was discussed. The Council felt confident that the funding would be available from the options presented.”

In a previous year, the city put a pledge amount of $336,956 in an escrow account to be used as funding for payment of UTOPIA bonds if necessary.