Mediacom could see competition in Iowa City

With initial surveys finished this past spring, Cedar Rapids-based ImOn Communications is now taking the next step toward bringing new Internet, cable TV and phone service options to Iowa City.

On Tuesday, the Iowa City Council will hold a public hearing and consider three agreements with the company that, if approved, will help expedite its expansion. Jeff Janssen, vice president of sales and marketing for ImOn, said that while he couldn't comment on when the company will begin operating in Iowa City, the requests are the next step in finalizing the planning process.

"At this point, we're just trying to get our ducks in a row to get things in place. We're not prepared yet to talk about where and how and what we'll offer as a service, but we're obviously progressing," Janssen said. "Assuming this goes through without issue, we'll have more information to share by the end of the year."

In a Wednesday memo to City Manager Tom Markus, included in the council's meeting packet, Geoff Fruin, assistant city manager, said that ImOn is seeking to rent 120 square feet of space in the Tower Place parking ramp at 6 S. Linn St. to create a communication hub. According to the proposed five-year lease, ImOn would rent the space from the city for roughly $2,000 per year beginning Dec. 1 through Nov. 30, 2020.

Fruin said the company also seeks to rent excess capacity in the city's fiber-optic network, which serves public buildings, traffic signals and other municipal functions. ImOn also seeks to enter a license agreement with the city that would allow the company to expand it's underground fiber-optic network in the public right of way.

"Really what those items are intended to do is facilitate ImOn's entry into the Iowa City market. Each one is distinct and unique, but they all come together and hopefully give them the approvals that they need to build out their utility network, Fruin said. "Hopefully this allows them to move quicker than they normally would, but they are still going to have areas of the community where they need to build infrastructure."

Iowa City Media Production Services Coordinator Ty Coleman said Mediacom is currently the city's only provider of that combination of technologies, and said his department fields a portion of Mediacom customers' cable service complaints and comments. Coleman said several of those comments have indicated a growing desire for competition.

"Competition is always a good thing, and in the past we've gotten questions about why Iowa City doesn't have competition when it comes to these services. This is really a new chapter to potentially get a new service provider," Coleman said.

ImOn would need to apply for a state franchise agreement if it plans to provide cable TV service, Coleman said, but does not need the franchise agreement to provide telephone or Internet services.

Patrice Carroll, president and CEO of ImOn Communications, has said the company has provided service to Cedar Rapids, Marion and Hiawatha for the past eight years, and in 2007 purchased an existing fiber-optic route through Iowa City that has the potential to deliver high-speed Internet through direct connections to homes and businesses.

"Ultimately, I think more choice is better for the consumer, whether you're a residential or business consumer. I expect that each of the utility companies providing those services will sharpen their pencils and try to enhance their services and that competition," Fruin said.

Reach Andy Davis at 319-887-5404 or at aldavis@press-citizen.com, and follow him on Twitter as @BylineAndyDavis.