Editor’s note: This commentary is by by Alexander Friend, of Burlington, a volunteer with Keep BT Local who works at UVM and is a member of the Burlington Planning Commission. The views expressed are his own.
The situation with Burlington Telecom could not be more stark. On the one hand, we have the mayor and some city councilors backing the nominally cautious approach of selling our internet utility to a private company in exchange for modest returns and near-term stability. On the other hand, we have a bunch of โidealistsโ who want to turn the thing into a cooperative, and with borrowed money. It sounds crazy, so why we are still talking about it?
The reason is that half of our elected city government has lost the vision of what Burlington can be. Lack of vision knocked down Little Italy. Vision is what stonewalled privatization and delivered us Waterfront Park 30 years ago. The vision to close off Church Street to cars created a thriving downtown marketplace that now draws three million visitors to Burlington each year, fueling the cityโs economic engine. Church Street is recognized by the American Planning Association as one of the โGreat Places in America,โ and by the National Trust for Historic Preservation as a โGreat American Main Street.โ The vision of the city leasing prime downtown land to Onion River Co-op to operate a grocery store: Fifteen years later, this week City Market โ our community-owned grocery store that has received local and national recognition for its outstanding financial performance and innovative community outreach programs โ opened a second store in the cityโs South End โ a resounding triumph for what started as a tiny shop with bulk food in bins and sawdust on the floors.
The myopia of half our current city government extends to our telecom future: Our elected city leaders can either pass off responsibility for this critical asset to others that have no vested stake in our community, or continue a legacy of bold leadership by retaining local ownership of this powerful long-term asset for the city and its economy, one that gives value back to both the taxpayers and ratepayers of this city who have invested millions into BT. Yes, taxpayers will benefit too โ not from a one-time, lump-sum settlement, but through years of local ownership, employment and growth.
It’s all very well to talk about the commitments that Ting and ZRF/Schurz have said they will make to investing in Burlington and Chittenden County, but that approach is completely blind to the larger telecom marketplace: Companies like AT&T and Comcast are 800-pound gorillas, and if they want something, theyโll find a way to get it. For the most recent example, look at this past Tuesday’s announcement by the Federal Communications Commission that they’re going to bow to industry lobbyists and roll back net neutrality. Ting says it supports net neutrality, and I commend them for it, but seriously, what small-market player wouldn’t?
Either Ting or ZRF/Schurz would be good partners โ but just for a few years. What is the long-term vision of the elected leaders who want them running our internet utility? You donโt need a prophet to see whatโs obviously coming: In as little as five years, Ting or ZRF/Schurz will sell out. Selling to a larger player was always part of these companiesโ business plans, and when Comcast or its cousin comes knocking, our local network will be gone forever. The city will have the right to buy it back first, but there is no realistic scenario in which Burlington would put up the $40 million-$50 million it would be worth at that point.
We still have a chance to avoid privatizing our future. Only a co-op will keep our community’s interests first, be able to guarantee high speeds, low rates, and excellent, responsive customer service for decades into the future. Lawsuits can be resolved, and capital can be raised, but only the local option retains local control forever.
