The Town of Mooresville owns an $80 million cable system (MI-Connection) that provides cable and Internet service and relies on subscriber fees to pay for the system. But the town itself does not use MI-Connection as its primary Internet service provider. Instead, it pays approximately $950 a month to MI-Connection’s "competition," Windstream Communications, Inc., for “network connectivity.”
Why? Apparently because MI-Connection is not currently capable of providing network connectivity for the Town of Mooresville. And even if/when it can provide such a service, the town’s Information Technology (IT) manager says that Windstream is so affordable for the town that "it would not make a very good business decision to drop them."
Approximately $150 of the $950 that the Town of Mooresville pays Windstream is used to connect Town Hall and the Police Department, said Town Finance Director Maia Setzer. About $793, she said, is used "between Town Hall and the ‘world.’”
Meanwhile, the town does not pay MI-Connection for anything, Setzer said, adding: “We used to pay Adelphia/TWC (Time Warner Cable) for a redundant connection at the Police Department for Emergency Operations Center reasons. The connections we had in place under Adelphia/TWC at several locations are still there and active.”
On June 11, the Report sent the following e-mail to MI-Connection General Manager James “Junior” Miller and copied all the Mooresville commissioners:
Mr. Miller and/or Commissioners:
I need some help understanding something that likely has a very simple explanation – I just don’t know it yet.
I found out yesterday from the Town of Mooresville’s finance director that the town pays approximately $950 per month to Windstream for “network connectivity” and that the town does not pay MI-Connection for anything but that “connections (the town) had in place under Adelphia/Time Warner at several locations are still there and active.”
I’m confused. Is the town “double-covered”? And if so, at least looking at the numbers, it appears that Windstream is the primary network connection for the Town of Mooresville. With the town owning an $80 million “fiber optic infrastructure system,” why aren’t we using MI-Connection – and MI-Connection only – for network connectivity? Is MI-Connection currently able to facilitate that for the Town of Mooresville? Will MI-Connection eventually be used for the town’s exclusive network connection? And if so, when is that projected to occur? Is it included in the current $80 million, or would that come with the additional $12.5 million?
Thanks for any clarification you can provide.
Miller did not provide specific answers in his response to the Report on June 17, stating only: “I have discussed ‘network connectivity’ with Mooresville’s IT department as it relates to the upgrade of the MI-Connection system. We are looking into this situation more in depth as the upgrade is underway in the Mooresville area. Also, MI-Connection will have more fiber in place to assist in their connectivity and requirements at that time.”
Davidson Town Commissioner and MI-Connection Board Member Evan Webster, when asked to clarify Miller's response, did not respond.
Meanwhile, Mooresville’s IT manager, Jeff Brotherton, says that the $80 million MI-Connection cable system, which the town purchased six months ago, is used “at the police department for redundant connectivity for patrol cars to access local and state databases" but that the town cannot currently use MI-Connection for network connectivity because "MI-Connection does not offer dedicated connections between locations unless it is fiber.
“MI-Connection is in the process of building out their infrastructure which will allow us to use fiber between our locations in the future; this build-out is not scheduled to be complete until early 2009," Brotherton says.
It is unclear if the upgrades that would be necessary to fully accommodate the town's needs are included in the $80 million that the town has already paid for the system ... or if those upgrades would be completed only if the town approves the additional $12.5 million that MI-Connection is expected to request at the July town board meeting.
"I would hope that we will use MI-Connection as our primary provider in the future," says Brotherton, adding, however, that "our pricing with Windstream is so good it would not make a very good business decision to drop them.
"We have discussed keeping our Windstream connections in place for Disaster Recovery," Brotherton adds. "Redundancy is very common and we don’t consider it 'double-covered.'"
Mooresville's interim town manager, Erskine Smith, adds: "We have a plan to convert (from Windstream to MI-Connection) assuming the MI upgrades are made."
So, what's the bottom line? The Town of Mooresville owns an $80 million cable system that provides Internet service. But we pay almost $1,000 a month to our own "competition" because it can service our current needs. Our own company can't.
But someday, we "hope" to be able to use our own system for primary Internet service.
Why should Mooresville citizens subscribe to MI-Connection for Internet service when the very entity that owns the system can’t, or doesn’t, use it?
Some may argue that the upgrades simply haven’t made it to Town Hall yet. Others may use this situation as justification for the town to approve MI-Connection’s upcoming $12.5 million request to "complete upgrades."
I, on the other hand, would argue that the towns of Mooresville and Davidson sank $80 million into the system six months ago and should have been a priority for MI-Connection.
Am I suggesting that the Town of Mooresville should invest $950 a month of taxpayer money into MI-Connection? Absolutely not. I am suggesting that if the town is going to dish out $950 a month for “network connectivity,” it should be dishing it out to its own company -- and certainly not to its "competitor" -- if for no other reason than to demonstrate to the public that it believes in MI-Connection and its future.
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24 comments:
Speaking of competition, I’m curious if the town plans to use regulatory authority to ensure the profitability of the MI Connection investment. Will satellite dishes be zoned as blight and dsl modems contraband within city limits? Historically, government doesn’t do a very good job competing in the free market (i.e. USSR, pre privatized China, Citgo/Chavez/Venezuela an understandable exception).
I’m also still curious about the legality of a government owned business. I wonder what the lawyers at the Heritage Foundation would say.
Another quality post, Ms. Gatton!
A while back I asked if anyone had any experience with Windstream, since some days I don't have the patience to deal with my internet service dropping out three times a day.
Little did I know that the TOWN OF MOORESVILLE'S IT DEPARTMENT would be the one's recommending Windstream.
Amazing.....simply amazing.
Jim
I hope the commissioners don't get a call to buy Enron stock, they would fall for that one too! I don't see anything but consistency, after all these are the same commissioners who apply the same logic in their retreats. Why use a building we already have when we can go to a resort and piss away tax dollars? Good work Jamie can't wait for the next stupid human trick.
Next thing you know, they will tell us what a great deal the "two cans" connected by a string is for the town.
Thanks for the info. I'll be calling Windstream tomorrow.
WINDSTREAM BABY!!!!
"If the Town of Mooresville doesn't use MI-Connection, why should we?" is a little deceiving isn't it when you wrote that the town cannot currently use MI-Connection for network connectivity because "MI-Connection does not offer dedicated connections between locations unless it is fiber." and that the fiber is not in place yet.
Never mind that last person. You're asking the same questions that everybody else wants to know an answer to. If I bought a cable business for 80 million dollars I'd be damn sure that everything was in place for me to be the first subscriber. Those of us who aren't getting paid by the town or receiving some other benefit from it see how idiotic it is that the owners of the cable system couldn't see fit to make sure they can use it before they bought it. The person above just proved your whole point. Good work. Keep it up.
Precisely.
12:01 I think Gatton was talking to you when she said Some may argue that the upgrades simply haven’t made it to Town Hall yet......I, on the other hand, would argue that the towns of Mooresville and Davidson sank $80 million into the system six months ago and should have been a priority for MI-Connection.
Thanks for your comment but no thanks. Start reading the articles entirely before shooting yourself in the foot. It's late.Goodnight.
Not saying the town's decision to purchase the cable system was right but I switched to MI from Windstream for my business internet service. My business Windstream connection was always down 3-4 days a month during business hours.
In my experience with Windstream, their customer service is awful since they have swiched their call center from Matthews NC to India. MI is not perfect but so far has provided much better service. My business now pays twice as much to MI than it did Windstream for internet but I am happy to not have the internet downtime.
Jamie check this out. I understand the Mayor, who by the way cast the tie breaking vote to gives us this cable deal, is on Time Warner. I'm not suprised with the double standard. Government always says do as I say, not as I do. By the way I changed to Windstream. Got the package deal of internet, phone and satellite and saved $50 a month. Service has been great.
The Mayor listens and votes only the way that Rader tells him to do. This is why the town is in such bad shape. Next election vote the Mayor and all to his right out so we can start over. However they have us in such a bad shape I am not sure that the town problems can be fixed.
I'd be willing to bet that MI Connection could supply town hall with internet service....but the braintrust in the town never thought that they were wasting money by paying Windstream.
Seems to be a common theme..."don't worry about the taxpayer's money"...they've got lots of it...we'll just jack them up again next year.
Hey Frank....get your hand out of my wallet.
Maybe the town is smarter then we think...they don't want to deal with crappy internet service...even if they own it.
"MI-Connection does not offer dedicated connections between locations unless it is fiber."
This makes my question; Why was the Court house and Police departmart not made 1st on the list when our town sank in $80 million?
For that matter, Why were not the hospitals, rescue, and fire not put at the top of the list, if they do not have this service? I don't know if they do or not.
Why should we use a service that is not important enough for our own town government to make a priority. Instead it is a priority to advertise this company to us, I'm sure with our own tax dollars, for the profit of a government owned business. Is that legal?
Not to change the subject, but I have also heard that any employee or family member of the city is allowed to play golf at the Municiple Course and only be charged cart fee. Is this true? If so, do I even need to comment? Is this not another area this town is losing $$$$$ ?
12:33 AM:
I sure did read and reread the article before posting. If i havent read it how would I noticed the "slight of hand" in the article title.
No matter how you slice it, the title makes the initial assumption that its there and they dont use it for some reason, but the article says its not available as of yet.
Mr Brotherton says its coming but they will probably keep the windstream as a backup. Having worked in IT many many years ago, this seems to be a solid plan for redundancy of the network nothing surprising there.
BTW shame on MI-Connection for not placing the towns needs before the citizens!!! Now lets say they put the needs of the towns before the citizens shame on them!! Its a no win situation
We can agree to disagree and thats ok.
Ohh!!!So you were criticizing Gatton's title.....which I guess is easier than to actually have to think about what she's writing about.If Gatton was trying to mislead you; why would the facts about the fiber have been included at all? The title is what hooks a reader. Looks like it worked.
BTW most citizens in this town never wanted MI-Rejection to begin with. So the town could have put it in at town hall and stopped there for all we care. But the least they should have done was to show us that they're willing to pay for it themselves before forcing it down our throat.
Yes, let's agree to disagree.
MI Conn. was a "no win" situation as soon as the council voted for it against the will of the citizens. Also the town's citizens did not "need" the cable system-the only need we have is government representation that listens to us.
How dare you criticize The Lunatic Fringe Report? Do you not realize that the 12 of us that post on here are geniuses. It doesnt matter that you made the article and its author look like a moron. We are always right, even when we are wrong!!!!!!!!
Wow. We're already up to 12? We decided there was just 7 of us a couple of weeks ago. Must be growing!!!
Think Brotherton has been thrown in the Tonw's dungeon after those comments he made? Think he got any 'advice' on talking to the media? I guess it's time for the Town to stuff a sock in all the employees mouths and hire another 'talking head' like they did a couple of years ago to make sure the public is fed the 'correct information'.
Maybe I could put in a resume? Heh.
Wow! I think there is a good docudrama in here somewhere.
There are the makings of a good movie here. You have corrupt leaders (not all of them mind you). GREED! Power! Ego? Immense controversy. Don't forget Politics, or maybe the lack there of, or too much.
1) $80 million to put government in control of your TV. (Sounds like Russia).
2) Pay raises for the Commissioners.
3) Oh, and we'll raise your taxes while were at it.
4) Light rail? Who needs it? Not the 50,000 commuters battling for two lanes in I-77.
5) Oops. Need another $12 million to fix the mansion that we bought site unseen (which is not at all accurate). How many millions were spent to have the cable system looked at? Hmm. They forgot to mention that they KNEW what the town was getting into.
6) Who is getting paid under the table for the Cable to happen?
AND THIS is just the headlines from the month of May!
What's sad is that the stars of this movie are really nice people (outward appearance). They just made some really stupid deals and moves.
Jamie, I think we should talk about a movie deal. Not a block buster but it will get some viewers. It probably won't be shown on MI-Connection. Remember, the government owns the media now.
Wow! This is awesome! Another plot twist for the movie "Behind Closed Doors."
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