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Mavericks Broadband says Kiowa’s new right‑of‑way license and fees are stalling state‑funded build

Town of Kiowa Board of Trustees · July 9, 2024
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Summary

Mavericks Broadband told the Kiowa Board of Trustees a newly drafted right‑of‑way license and a proposed recurring fee structure are delaying a 6,400‑foot town crossing that would serve un/underserved homes; town staff said it drafted the license to set construction and maintenance standards and cited prior correspondence with the governor’s office and neighboring Elizabeth.

Mavericks Broadband co‑founders David Mavericks and Tyler Bartholomew told the Kiowa Board of Trustees they are being blocked from a short right‑of‑way construction permit by a newly drafted right‑of‑way license and an unexpected fee proposal.

"All we're asking for is equal treatment," David said, describing a 6,400‑foot crossing through town that he called part of a larger regional project. He said Mavericks sought a routine construction permit, but staff insisted on a license or a franchise agreement and later provided a draft right‑of‑way license dated June 26 that Mavericks contends was created specifically for its application.

The founders said the company qualifies as a competitive local exchange carrier and, based on their industry advice, is not required to enter a franchise agreement for residential internet service. Tyler emphasized the local benefits, saying the build would improve telemedicine, remote schooling and economic opportunity for children and families who currently lack reliable broadband.

Town staff and a board representative said the license was drafted after back‑and‑forth communications with Mavericks and neighboring Elizabeth, and that the town received confirmation from the governor’s office about a $2.5 million grant to expand broadband in unincorporated Elbert County and Kiowa. The representative told the board the town drafted a right‑of‑way license to set clear expectations about construction methods, restoration and liability when private companies dig in public rights‑of‑way.

The dispute centers on two points: whether a franchise agreement can be required of a CLEC providing internet (not video) services, and the form of compensation. Mavericks said the draft shifts from a customary one‑time permitting fee to a proposed recurring charge — described in discussion as "50 cents per foot per year" — which the company and other commenters warned could be an unlawful new tax under Colorado’s TABOR rules. Mavericks further said the town previously allowed other providers to install conduit and fiber without this license, and asked for equitable treatment.

Town representatives countered that prior infrastructure in place and different project types (e.g., utility company builds) complicate direct comparisons; they also said the town's draft license parallels agreements being used by nearby jurisdictions to protect public infrastructure and ensure timely restoration after excavation.

The board heard requests from both sides and asked staff to provide a full written response and the draft license language at a future meeting. The town's attorney or legal counsel will be involved in follow‑up discussions; staff said they aim to produce a thorough response on Mavericks’ process and the fee schedule for the next meeting.

Next steps: staff indicated they will return with a written response and additional documentation; Mavericks and the town were invited to meet constructively, and the governor’s office and the state broadband office indicated willingness to help if needed.