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Legislation on municipal broadband close to final House approval
Written by Josh Ellis/David Horn   
Friday, 25 March 2011 09:16

(RALEIGH) -- State lawmakers advanced a proposal aimed at discouraging local governments from getting in the broadband internet business. The House voted 80 to 32 in favor of new rules for municipalities that sell communication services.

The bill would make it harder for cities and towns to provide high-speed internet below cost. Democratic Rep. Jennifer Weiss said the measure will harm rural parts of the state because telecommunications companies are not interested in those less profitable areas.  "This bill will slow the expansion of high speed internet service in North Carolina by reducing competitive pressures on the existing monopoly telecommunications providers to expand and improve their service," said Weiss.
 
Republican Rep. Darrell McCormick said local governments should not be taking on the financial risks of building internet systems. "We don't need to turn these small communities up-side-down thinking they can get ahead by getting into this business," said McCormick.

Supporters of the measure say cities have a competitive advantage over private providers because they can offset costs through other government-run services. A final vote is scheduled for Monday.

 
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