Questions loom over San Bruno internet service

Councilmember Marty Medina said the city has the money for the first two of seven phases but is concerned it won’t be able to compete with outside service providers once the project is completed.

“My concern is, are we going to be competitive going forward,” Medina said. “I am skeptical because we are arriving late to the party.”

The last time the city upgraded its cable, to coaxial, was 25 years ago. Telephone and cable services are becoming more obsolete forcing the city to invest in fiber for its high-speed internet and large bandwidth capabilities.

The city already has 18% of its customers wired with fiber optics and is looking to continue the second phase of its project but the City Council didn’t approve the $3 million transfer from its capital improvement fund during the meeting.

The project, which will upgrade more than 2,000 homes on the northeast and west side of Skyline Boulevard, would begin sometime between May and December. The six-month range of possible start times is due to lack of equipment availability, said CityNet Services Director Sandeep Krishnamurthy. The west of Skyline Boulevard construction would begin between December and March 2025. Northeast of Skyline Boulevard is scheduled around August 2024 to March 2025.

However, the long startup time was concerning for Medina who said he is worried because outside providers are working faster and with more money than the city.

The area under the second phase was chosen because of its hilly and challenging terrain that outside providers have yet to address. It also provides the city with possible revenue opportunities, with neighboring city Pacifica that has expressed interest in fiber. That could be a potential stream of revenue for the city’s failing enterprise.

Councilmember Michael Salazar said he has concerns that CityNet services may not be able to profit going forward and is worried it won’t be a good investment.

“If it was clearly a revenue generator I would say, ‘yes let’s make the investment and get that return’ … but I am not convinced that’s going to happen,” Salazar said. “I just want to make sure we are making the right investment at the right time.”

The city has already upgraded three multiple dwelling complexes and four single-family residential neighborhoods, Marisol, Skyline, Spyglass, Seacliff and Mariluna neighborhoods as a pilot program.

The server CityNet runs on is so old and there isn’t a replacement for it, meaning the city would be out of service once it fails. However, fiber optic technology will be able to hold an excessive amount of bandwidth and be relevant for more than a decade, Krishnamurthy said.

The city plans to install the fiber cables through the Pacific Gas and Electric poles, although Councilmember Sandy Alvarez wants to have the cable installed underground.

However, Krishnamurthy said the underground alternative takes up a lot of financial resources and that the project is better suited down the line once PG&E moves to underground service.

The entire project would cost the city around $18 million. City staff will return with the requested information at a later date before the city makes its decision to move forward.

nick@smdailyjournal.com

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