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Bloomington advances plan for city-wide high-speed internet

By Holden Abshier and Sarah Vaughan

Posted May 16, 2022

Bloomington/Meridiam logo

Combined logo for the City of Bloomington and Meridiam. (Courtesy: City of Bloomington)

The City of Bloomington is moving toward bringing high-speed internet to at least 85 percent of residents. It announced Friday a plan for reduced internet costs for low-income residents.

The city partnered last year with public infrastructure developer Meridiam, who plans to invest $50 million in the open-access-model fiber network. Any internet service provider (ISP) may lease the infrastructure after an initial restricted period with one company.

READ MORE: Bloomington high-speed internet agreement to improve digital equity

Bloomington plans to invest $1 million into digital equity for the project. The eligibility for the program is not a specific income; instead, people eligible for federal and state programs such as SNAP, TANF, social security, disability, and free and reduced lunch will qualify.

“Proof of eligibility for those programs will suffice for proof of eligibility for the digital equity program,” Bloomington information and technology director Rick Dietz said.

The city and Meridiam are proposing a new Tax Increment Finance (TIF) district to support the project.

Through establishing a TIF district, a local government can issue a bond to fund new infrastructure that promotes new economic development. Revenue generated from new developments - in the form of increased assessed value - repays the bond. Once the bond is repaid, the district expires. 

If successful in establishing a new TIF district, Meridiam could begin construction as early as October.  

READ MORE: High speed internet coming to 85 percent of Bloomington

Meridiam’s network will offer at least 1 Gigabit per second, and the city said rates will be competitive locally and regionally.  The digital equity initiative will provide 250 Megabits per second for $30 per month. The Biden administration's Affordable Connectivity Program, which is worth $30, could then provide qualified residents internet at no cost. 

As a comparison, commercial companies locally offer 300 Megabits per second for $50 to $55 a month. 

The city said Meridiam is expected to announce investments in Columbus, Martinsville, and Shelbyville in the coming weeks.  

ABOUT MERIDIAM  

Meridiam is a global public infrastructure investor in, developer and manager of sustainable projects. The company has been active in North America for 15 years, with offices in New York City and Toronto.   

Meridiam has invested in about 100 projects in 26 countries, totaling $18 billion in assets. It is currently managing 17 projects in the U.S. and Canada, including sustainable roads, airports, and electric buses.  

This article has been updated. 

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