Myth #2: Is Municipal Broadband Too Expensive and Risky for Taxpayers
Myth #2: Municipal Broadband Is Too Expensive and Risky for Taxpayers
“Won’t this cost taxpayers millions?” That question can stall a city council meeting. But it leaves out the real story. Municipal broadband doesn’t have to be a burden. Cities across the U.S. are proving it’s not only possible—it’s sustainable.
Broadband Is Infrastructure
Building fiber isn’t cheap. Neither are roads, water systems, or electricity grids. Communities invest in them because they’re essential. Broadband has become just as critical. Treating it as a gamble misses the point.
Proof From the Field
Municipal broadband isn’t an experiment—it’s already succeeding.
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Fairlawn, Ohio: Launched FairlawnGig in 2016, now enjoys a take rate above 90%.
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Chattanooga, Tennessee: The first “Gig City.” Its fiber network delivered $2.7 billion in economic benefits and thousands of jobs.
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UTOPIA Fiber, Utah: Covering 20+ cities with 15 ISPs, proving open access can scale.
These aren’t exceptions—they’re examples.
Funding Without Tax Hikes
Most networks didn’t depend on federal grants alone. Cities used smart financing:
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Revenue Bonds: Paid back by network income, not general taxes.
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Public-Private Partnerships: Share risk and expertise while keeping long-term control.
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Phased Rollouts: Start small, expand with revenue, reduce upfront costs.
The model matters more than the myth.
The Bigger Cities Are On Board
It’s not just small towns.
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Oakland, California: Planning one of the nation’s largest city-owned fiber networks.
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Colorado Springs, Colorado: Rolling out a massive open-access build.
This isn’t theory. It’s happening now.
The Real Risk: Doing Nothing
Communities that delay face slow internet, overpriced monopolies, and economic stagnation. Inaction costs more than investment. Cities already manage utilities, power, and safety networks—broadband fits right in.
Broadband Pays Off
Well-run networks generate consistent income, pay down debt, attract businesses, and raise property values—all while delivering better service at lower costs. That’s not risk. That’s return on investment.
Smarter Investment, Not Bigger Risk
Cities that succeed:
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Align broadband plans with community goals
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Use modern automation tools like COS Business Engine
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Phase rollouts to match demand
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Protect taxpayers through financing strategies
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Learn from proven examples
Municipal broadband isn’t reckless spending. It’s smart infrastructure planning.
The question isn’t “What will it cost?” but “What’s the cost of doing nothing?” Municipal broadband is not a bet. It’s a blueprint—and cities nationwide are already building it.
Up Next: Myth #3: Private ISPs Already Provide Service—Municipal Broadband Is Redundant.