The Utah Telecommunication Open Infrastructure Agency (UTOPIA) closed $85 million in revenue bonds to finance Phase I of a fiber-to-the-premises (FTTP) network that will serve residents of 11 pledging member cities across the state. Construction of the FTTP network will begin in August. Phase I will connect more than 50,000 premises in portions of six cities in Salt Lake County (Murray, West Valley and Midvale) and Utah County (Orem, Payson and Lindon). Phase II, which will expand the network to other cities (Brigham City, Centerville, Layton, Perry, and Tremonton) and additional connections in the Phase I cities, will require additional financing.
UTOPIA noted that tax dollars will not be used to build or operate the system. The network will rely on revenues from service providers to repay the bonds. Eleven of the participating cities have pledges that guarantee a portion of the entire project. The pledges may only be called upon if the project is unsuccessful. http://www.utahpolicy.com
