Siloam Springs cable vote down to the wire

Parties on both sides of a controversial proposal to add a high-powered broadband system to Siloam Springs’ utility services say they want to get out the vote next week.

For them, that’s also meant ‘get out the pocketbook.’

As of Tuesday, records show opponents of the proposal have outspent the city almost 3 to 1 trying to get out their message. The opposition group, called Arkansans for Limited Government, spent all of its advertising money with the group leader’s firm.

Siloam Springs city officials propose to invest $8.3 million to run fiber optic cable directly to homes and businesses and add cable, Internet and phone services to its city-owned utilities. If passed, the city could provide more bandwidth and faster service than currently offered by private providers, officials say, while providing new revenue for the city and an enticement for new industries. The project would be funded by reserve monies and be paid off in 12 years and have a positive cash flow after three years, if projections are accurate.

The city already owns the electric and water departments.

If the measure is approved, Siloam Springs will join Conway and Paragould as the only Arkansas cities to offer city-owned broadband services. Nationwide about 150 municipalities offer broadband services, including nearby Sallisaw, Okla.

The city’s board of directors studied the issue for 18 months before deciding to put it to a referendum.

May 16, 2012

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