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Waterloo, Iowa, Telecom Board Seeks Bids for Fiber Optic Strands

Posted on: Wednesday, 21 December 2005, 18:00 CST

By RC Balaban, Waterloo-Cedar Falls Courier, Iowa

Dec. 21--WATERLOO -- The municipal telecommunications utility board for the city of Waterloo has a deal for someone out there. The board is seeking bids on four fiber optic strands optioned to the city by McLeodUSA.

There are a couple catches, however. No one on the board knows where the cables run and, since the board is seeking a short-term lease, it is unlikely the winning bidder would be able to use the strands before the lease ends.

"What it is is a probable down payment on a future bid," said city attorney Jim Walsh.

In October 1997, the city of Waterloo was given an option to use four fiber optics strands when the McLeodUSA installed a fiber optics backbone in Waterloo. The strands have not been used since.

The board was established with a Nov. 8 referendum. Waterloo voters also approved allowing the city to establish a municipal utility, though the city currently has no plans to construct or operate a telecommunications system.

On Monday, the city council appointed five members to the utility board: Bob Heaton, Randy Pilkington, Scott Crowley, Jim Waterbury and Doris Kelley. The city also assigned the fiber optic strands to the board.

At Tuesday's meeting, the board decided to seek bids for the strands.

The minimum bid is $100 per month and the lease would run through the end of February. The money would remain in the board's possession and give the board an operating budget, since the group currently has no income.

Should the winning bidder decide to use the strands, they would be on the hook for the cost.

"We need to be clear that use of it before the end of the lease is extremely unlikely," Walsh said.

Waterbury, who was named the board chairman, said seeking the leases would raise visability of the telecommunications issue.

"I would call it exploratory in nature," Waterbury said.

The board will discuss the bids at its meeting Tuesday.

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To see more of the Waterloo-Cedar Falls Courier, or to subscribe to the newspaper, go to http://www.wcfcourier.com.

Copyright (c) 2005, Waterloo-Cedar Falls Courier, Iowa

Distributed by Knight Ridder/Tribune Business News.

For information on republishing this content, contact us at (800) 661-2511 (U.S.), (213) 237-4914 (worldwide), fax (213) 237-6515, or e-mail reprints@krtinfo.com.

MCLD,


Source: Waterloo Courier

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