Network Operations Center Technicians Donald Seher, front, Manager Troy Thompson, standing, and Brian Merell, back seated, work in the NOC, Network Operations Center at Utopia, a fiber optic company Thursday, Oct. 20, 2011.
Scott G Winterton, Deseret News
UTOPIA has spent nearly all of its $185 million in bond proceeds, though only 59 percent of that has gone toward building infrastructure for the municipal fiber-optics network, a legislative audit found.
The audit, conducted by the Office of the Utah Legislative Auditor General at the request of state lawmakers, blasts the Utah Telecommunication Open Infrastructure Agency for poor construction planning, costly mismanagement and unwise use of bond funds.
As of April 2012, UTOPIA was only available to 58,000 residents, with just 9,300 subscribers. Loader said the agency has since topped 10,000 subscribers.
UTOPIA member cities collectively must continue to make annual payments of nearly $13 million for debt service on the bonds. The cities pledged a portion of their sales tax revenues as security for the bonds, the report states.
UTOPIA pledges for 2013
Due to revenue shortfalls, member cities must contribute nearly $13 million to cover bond payments. Amounts are determined by city population.
City / Pledge
West Valley City / $3.4 million
Orem / $2.8 million
Layton / $2.1 million
Murray / $1.6 million
Midvale / $779,000
Brigham City / $430,000
Centerville / $428,000
Lindon / $395,000
Tremonton / $324,000
Payson / $260,000
Perry / $105,000
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