
Waste Watch – Alameda Ready to Pull the Plug on Telecom Business
Remember back in the mid-1990s, when everyone and their mother wanted a piece of the booming communications industry?
Well, the City of Alameda was part of that crowd. But now after a decade, the City’s venture in providing cable TV and Internet services to its residents may come to an end.
According to the San Francisco Chronicle (March 25th), officials from the city-owned Alameda Power & Telecom laid out the options for the public in a presentations to the city’s public utilities board. Unfortunately, none of the options is likely to recover the $85 million the city spent to launch and operate the service.
And, if that isn’t enough, Alameda, which has a general fund budget of $80 million this year, is due to make a $33 million balloon payment next year on the original construction bond for the telecom system.
Girish Balachandran, the utility’s general manager, confirmed that a consultant has been hired to identify and contact parties interested in buying… Read More