Purchase stops Longmont wi-fi from ‘going dark’

The City of Longmont’s wireless network came close to “going dark” earlier this month. But now a local company is widely expected to step in and run the network, ensuring that people with MP3s, laptops and other devices will be able to connect wirelessly almost anywhere in the city.

Nicolae Toderica, owner of StarNet LLC, was the only bidder at a Nov. 12 public auction of equipment owned by DHB Networks, which had failed to keep up with its tax bill. Toderica paid the minimum bid price of $121,770 and quickly announced that Longmont-based Ridgeview/Tel, in which he is a major investor, would take over operation of the network that it had helped DHB run since early summer.

Kristian Imbroch (left), Noc Engineer, Pat Phelan, Noc Engineer, and Jeff Grant, Director of Network Operations, discuss traffic on one of RidgeviewTel's networks at RidgeviewTel in Longmont. Longmont's subscription based WiFi network was purchased by RidgeviewTel investor, Nicolae Toderica, on November 12. Lindsay J. C. Lack

“Local folks came together to do what is right for the community,” said Melinda Jordan, director of operations for Ridgeview/Tel. There network has about 600 paying users, but currently about 1,900 devices are connecting to the network daily, she said.

The newly seated City Council still must approve contracts with the telecom company. But Tom Roiniotis, director of Longmont Power & Communications, said he’d be surprised if that doesn’t happen.

“If that doesn’t happen, that service will not be available to the community,” Roiniotis said. “And considering that this is a local company, I think it is very likely that (the council) will approve.”

Jordan said the end result is a “win-win” for city wireless users and the company. But the road to getting there has been winding.

The city placed a measure on the Nov. 3 ballot, Question 2C, hoping voters would give it permission to provide advanced telecommunications services, including wireless networks, high-speed Internet and more. Under a 2005 law passed by the state legislature under lobbying from telecommunications companies, municipalities are prohibited from providing such services unless voters approve a ballot measure giving them permission.

But following a well-funded campaign by the group, No Blank Check Longmont, voters handily defeated the measure. As of Oct. 28, when the most recent campaign finance filings were made, the group had raised more than $196,000 and spent almost $150,000 to defeat 2C, making it the most expensive campaign in the city’s history.

Roiniotis and Jordan both said the campaign was done at the behest of the cable industry. No Blank Check Longmont’s local agent, Richard Lyons, is also an attorney for Comcast, Jordan said.

“No Blank Check is basically Comcast with a different mask. They were able to buy a lot of voters,” she said.

Meanwhile, DHB was struggling financially, a fact that few voters probably realized, Roiniotis said. He said the city was hopeful that the company, only the latest in a series of failed wi-fi operators in Longmont since early 2008, would “resolve its financial issues.” It wasn’t, and Boulder County Treasurer put the company’s assets up for auction on Nov. 12.

“Wi-fi wasn’t the only reason we put 2C on the ballot. But we certainly knew that if it had passed it would enable us to step in and provide that service to people,” he said.

Now, with Ridgeview/Tel at the helm, “we’re basically back where we were before. Our hands are tied as a municipality to provide that service, so we have to rely on enticing private sector telecom companies,” he said.

But both Jordan and Roiniotis said the present outcome should turn out well for consumers. DHB, an Ohio company, had little local presence, Jordan said, and was difficult for customers to contact.

“We’re going to make this network really good. Local folks can walk right over to our office if they have a complaint. … People can come to my house and find me if they have a complaint,” Jordan said.

Roiniotis said the new arrangement also should result in lower-cost wireless access for many customers.

“The bottom line is that most people within Longmont should have this low-cost option” for wi-fi, he said.