(1/27) The Town Council approved sending a proposed contract received from Shentel Communications to allow it to offer cable service to town residents to the town’s lawyer for review.
Woodsboro currently has a cable franchise agreement with Comcast to provide residents with phone, cable TV, and internet access. Shentel Communications is looking to gain access to the Woodsboro market, but to do so would require them to gain utility right of way to string their fiber optic wires.
Shentel's services will including internet, video, and phone. Shentel offers ultra high-speed bandwidth and symmetrical speeds, meaning downloads and uploads are the same speeds. “That is a lot different than traditional cable company offers,” he said.
If the Town council get the OK from the Town’s lawyer, they indicted they will approved the agreement to allow the company to use the public utility rights of way.
In exchange for allowing the company to use its right-of-way to run their cables, Shentel will pay the Town a five percent “town franchise fee” on the “video” portion of customers’ service packages.
Burgess Barnes pointed out that the Town currently gets a five percent “town franchise fee” from Comcast residents on the “video” portion of their monthly bill and, if Shantel comes in with a lower rate for video service and existing Comcast customers move over to them, then the Town revenue from this service will decline.
Burgess Barnes said even thought the town might in the end lose a few dollars in revenue, he was in favor of the additional service provider, noting the benefits of competition, and said everyone would benefit from the option to choose the best plan that works for them.
If the Town approves the agreement, Shentel is expected to begin construction of their fiber optic network within 8-24 months.
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