The Harriman Utility Board (HUB) announced last week a public meeting scheduled for February 10 to reveal their “broadband business plan” that would see taxpayers in the East Tennessee community back newly developed government-owned broadband services.
A notice posted to the HUB website explains the February 10 meeting is for the purpose of notifying the public the agency intends to proceed with the plan, stating that it will allow the agency to provide “additional services to the customers of its other utility services and continue the modernization of those utility system.”
The agency claimed their plan will cost $6.7 million to construct, necessitating an internal loan from HUB’s electrical division, and that future operating expenses will similarly be covered by internal loans from money collected through the utility board’s other services.
While HUB’s proposed pricing for the government-owned internet packages start at $54.95, the Beacon Center of Tennessee recently reported that Government-Owned Networks (GONs) in the Volunteer State have seen their costs overrun by 98 percent, with the government-run internet companies forced to spend almost $368 million more than anticipated, despite also collecting $284.6 million more than they projected.
According to the full details of the plan, this $6.7 million price tag would give broadband access to areas that are not otherwise served by cable companies, or have less than 6,000 cable subscribers.
Though the proposal advocates for Tennesseans without access to the internet, the Beacon Center report similarly revealed this problem appears to be winding down without government interference, as more than 95 percent of citizens in the state now state that they have access to broadband, and 93 percent confirming they have access to high speed internet in some form.
The report also showed many of those who still do not have internet access are choosing not to pay for the service, with 64 percent stating that they do not need it.
Just 15 percent said they do not have internet access because of affordability, and less than 1 percent said they do not have internet access because of lack of availability.
Additionally, HUB’s decision to hold a meeting only after it determined it would move forward with the business plan could violate the Tennessee Open Meetings Law, the state’s sunshine law, as meetings were not held prior to the decision to formulate the business plan.
HUB’s business plan also comes after many Tennesseans gained first-hand experience with satellite-based high speed internet through Starlink devices, the products developed by Elon Musk’s SpaceX, which were called a “massive lifeline” to those impacted by Hurricane Helene by Tennessee State Representative Jeremy Faison (R-Cosby).
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Tom Pappert is the lead reporter for The Tennessee Star, and also reports for The Pennsylvania Daily Star and The Arizona Sun Times. Follow Tom on X/Twitter. Email tips to [email protected].
