The City of Red Wing was informed on Tuesday, March 23, 2010 that the second round application process for federal stimulus dollars has been terminated. Hiawatha Broadband Communications, Inc., a partner dedicated to working with cities like Red Wing, has made the difficult and unfortunate decision to terminate the federal stimulus application process due to business reasons.
Although there are a several reasons for HBC's decision, Gary Evans, CEO of Hiawatha Broadband, explained the primary reason is a position taken by the Department of Agriculture on the submittal of business contracts. The Department of Agriculture is mandating that applicable business contracts for service providers be made public and attached to the application. HBC cannot jeopardize its business by releasing those contracts, and has terminated the application process.
The City has appreciated the efforts and expense invested by Mr. Evans and his team at HBC and looks forward to working with them on other Red Wing Fiber efforts.
The City and Port Authority staff will be exploring other alternatives in an effort to bring a redundant and robust fiber optic network to businesses, institutions and homes in Red Wing.
An update on this important initiative will be provided at subsequent City Council meetings.
The City of Red Wing is dedicated to the ongoing health and well being of its residents. With its tradition of growth, stability and innovation, city leadership continues to maintain a proactive approach and a firm commitment to businesses, history, natural resources and, most important, the Red Wing community.
Contact: Laura Blair
Director of Information Technology