To the editor:

A high-speed Internet fiber provider is what economists call a local natural monopoly. Since it’s a natural monopoly, it’s best to have only one provider. Since it’s a monopoly, there needs to be government regulation (and subsidies, in certain cases). Since it’s a local monopoly, in Lawrence that regulation ought to be done by city government. I applaud City Hall for taking on the issue.

Fortunately for Lawrence, there are at least two potential providers. I have no reason to support either one. I do have one substantive recommendation concerning negotiations between City Hall and providers: You should treat this like a business negotiation, not a discussion between friends or an opportunity for crony capitalism. In particular, please do not rely on soft promises with no teeth. City Hall has a history of getting stung on sweetheart deals with no clawbacks where taxpayers got left holding the bag. That ought to stop.

Therefore you should ignore RG Fiber’s wishful desire to lay fiber in Lawrence in second quarter 2015. Until they are willing to make a binding commitment with penalties, that tells us only what we already knew:

l RG Fiber would like to expand to Lawrence sometime.

l RG Fiber would prefer not to have that opportunity foreclosed by a  city deal with Wicked Broadband.

I mean no disrespect to RG Fiber. They are merely following the smart business practices that I or any economist would recommend. My point is that the city needs to follow equally smart business practices.