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OMU Ups Residential Internet Rates

Posted on: Monday, 22 August 2005, 21:00 CDT

Aug. 20--Owensboro Municipal Utilities is about to raise its rates for wireless residential Internet service for the first time since it began providing the service in November 2002.

Wireless residential service will go from $25 a month to $29.99 on Oct. 1, after the Owensboro City Utility Commission approved a rate adjustment plan for OMU telecommunications services this week.

The rate is being changed to cover the cost of operating the wireless network and system enhancements, including additional network antennae, Web access to e-mail, and e-mail anti-virus programming, according to an OMU press release.

"At this point we hadn't passed any of those costs along," said OMU spokeswoman Sonya Dixon. "But at some point you have to."

The rate plan also includes adjustments to commercial and fiber Internet services. Those were altered to reflect the prices charged by other similar providers, system improvements and customer needs, according to OMU.

The utility plans to consolidate its wireless commercial services, going from five options to three.

Basic wireless commercial services will be offered for $49 a month, and a premium service will cost $64. A third service about three times faster will be offered for $84 a month.

There is also a $100 installation fee for the wireless services.

OMU will continue to offer fiber optic services with prices based on the type of service and length of contract.

OMU has provided commercial fiber Internet services since 1997. It expanded to wireless service in November 2002 to provide Web access to residential and small commercial users.

The company has more than 100 fiber customers and 2,900 wireless customers.

The services have been profitable for OMU, General Manager Bob Hunzinger said.

"I think we're providing good services for the community at reasonable prices," Hunzinger said.

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Source: Messenger-Inquirer

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