Wednesday, June 17, 2009

Ketchum Wi-Fi back online

New contract to operate system lowers cost to city


Ketchum residents and visitors will continue to enjoy free wireless Internet connection in the city center after a deal saved the service from being shut down after less than two years of operation.

The Ketchum Urban Renewal Agency, comprised of the City Council and Mayor Randy Hall, approved a deal Monday with Nampa-based Network Operations Co. to maintain and manage the system for at least one year.

Matthew Wheeler, president of Network Operations, presented a deal that will cost the city about $800 a month, or possibly less if the system can generate advertising revenue.

The network was originally created through an undisclosed grant from the Allen & Co. investment firm and launched in September 2007. Since then, the system has allowed laptop computer users in the downtown core to log onto the Internet for free.

Earlier this year, Ketchum Community and Economic Development Director Lisa Horowitz said the Wi-Fi system would be shut down on April 21 due to a lack of funding.

Horowitz said the city received a monthly $2,500 bill to keep the Wi-Fi system operating. Of that amount, some $1,300 went to provision of the service and $1,200 to technical support.

Wheeler said he had already spoken with the city's wireless provider, Syringa Networks, and lowered the monthly charge to provide the Wi-Fi bandwith from $1,300 to about $700. Under the new deal, the city will pay that amount, plus $150 per month to Wheeler's company to manage the system.

However, Wheeler said these costs could be significantly reduced through advertising opportunities, such as having local retailers place ads on the first page that's opened any time a user opens the Internet with the system.

Ketchum City Attorney Stephanie Bonney said the contract with Wheeler could be renewed annually. The city could terminate the agreement if the city was ever required to pay more than $500 for an unanticipated additional expense, such as new equipment, she said.

Local entrepreneur Irwin Sentilles asked the members of the URA to allow him to present a business plan to manage the system locally, rather than through Wheeler. Ketchum Mayor Randy Hall said that while he appreciated Sentilles' offer, it would be unfair to "pull the rug out" from under Wheeler, who took the initiative to propose keeping the Wi-Fi system alive.

Jon Duval: jduval@mtexpress.com




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