Grant PUD responds to Moses Lake chamber

EPHRATA — A letter written by Grant County PUD Commission President Tom Flint reiterates past points and further explains why the commission decided to stop dark fiber sales in May.

Flint’s Nov. 3 letter was addressed to Debbie Doran-Martinez, the Moses Lake Chamber of Commerce’s executive director.

She wrote commissioners and asked them to lift the sales halt in October.

Flint also attached a report to his letter from PUD consultant J.R. Simmons clarifying some of the rationale behind the commission’s stance.

Simmons states the PUD “has not designed the fiber network to be heavily subsidized on the backs of the electrical ratepayers.”

He also explained “economic development impacts and the social benefits are advantageous to the network, but not to the exclusion of sound business practice.”

Since fiber was made unavailable to others, the chamber’s rapid response team met to discuss the issue.

“Our county needs this (dark fiber) to be competitive and attract more businesses to our area,” Doran-Martinez wrote in part. “We must have growth in order for us to prosper.”

Excerpts of Flint’s letter are as follows:

“It is very important whenever possible to avoid policies that are in conflict with the county’s economic opportunities. It must be clear that our primary obligation must be to our electrical and telecommunication customers and there are other organizations whose primary focus in economic growth.”

He stated the PUD has a “volatile history in telecommunication” and explained how the fiber program was “overly aggressive, which led to a halt of all construction.”

Commissioners approved a resolution “providing direction and principles we believe are responsible, sustainable and acceptable to our customers.”

“Three key objectives are to provide 1) broadband opportunities to public benefit for services such as educational, health care, safety, and benefit state and federal institutions; 2) economic development opportunities; and 3) fiber to the home.”

“One of the critical objectives (necessary for passage of this resolution) is that the telecom program must meet a standard of financial sustainability. That is, the telecom revenues necessary to continue deployment should recover its (operations and maintenance) cost, plus indicate a reasonable expectation to recover new capital expenditures over the life of the new assets.”

“Another consideration is that dark fiber is only desired by some of the largest data centers, server farms and some of the large national telecom carriers. The economic opportunities for all other sector throughout the county are not impacted by the moratorium.”

Flint also wrote the commission is “committed to continue to explore solutions where all stakeholders will find value.”