RFP Staff
♦ At Tuesday’s Salisbury City Council Meeting, during the 3rd Financial Quarter Update, it was revealed that Fibrant losses for the fiscal year may exceed $3 Million dollars. The update not only showed the Fibrant Fund currently running at a loss, but an additional $2.45 million dollars was spent on Fibrant from the General Fund. The total amount may exceed $2.98 million by the end of the fiscal year.
The Fibrant Fund lacks enough money for equipment replacement, new installations costs, or even to pay the sales and technical staff. So the city is forced to pay for those items out of the General Fund. Combined, the total Fibrant loss for the year could exceed $3 million dollars and would be paid by your tax dollars. Fibrant simply isn’t making enough money to cover its operations.
The 3rd quarter financial update also showed subscriber numbers decreased during the end of the fiscal year’s 3rd quarter. Most of those subscribers were “turned off” because they could not keep up payments. Trying to sell Fibrant isn’t getting any easier with both AT&T Gigapower and TWC Maxx both lowballing Fibrant in price and outperforming their shaky municipal rival in marketing and performance.
The size of the loss ($3M) is sizable enough that without Fibrant the city could decrease property taxes by 10 cents, or use those funds to add approximately 30 new police officers fully equipped with patrol new cars.
Despite touting Fibrant as a turnaround goal, the 3 incumbents city council persons Miller, Blackwell and Alexander failed. Fibrant losses skyrocketed. Assistant City Manager John Sofley was relieved of his role managing Fibrant earlier in the year and placed on a retirement track by City Manager Lane Bailey after pressure from elected officials and Human Resources over Fibrant’s mushrooming losses and lack of financial transparency. Sources in city hall tell us that Bailey met with consultants about unloading Fibrant. A previous attempt to unload Fibrant to North State Communications took place under former City Manager Doug Paris’ leadership, but was blocked by former Mayor Paul Woodson.
The clock is ticking on Fibrant and City Hall.
