BURLINGTON TELECOM SALE INFORMATION

An Open Letter to the Residents of Burlington from Todd Schurz of Schurz Communications Schurz Presentation from May 9, 2018 VT Public Utilities Commission Public Hearing On Wednesday, December 27, 2017 the Burlington City Council voted to approve a deal with Schurz Communications, Inc. to buy Burlington Telecom. As the sale process moves toward completion, our staff will continue to do what we have always done – focus on providing great service to our customers and to our community. This web page will be periodically updated to keep consumers informed throughout the sale and transition process.

What’s Next?

  • The Buyers (Schurz Communications DBA Champlain Broadband, the City of Burlington and Bluewater Holdings) submitted a petition to the Vermont Public Utilities Commission o,n February 26, 2018, seeking a Certificate of Public Good. To receive e-mail alerts regarding this petition, complete these steps:
    • visit http://puc.vermont.gov/epuc-information/case-and-document-search
    • click on “Search by Case Number”
    • enter 18-0491-PET in the “Search Case by Case Number Portal” box, then click “search”
    • click on the case number in the search results
    • in the drop down menu under “Case Details” select “Subscribe to this case”
    • enter your email address in the “Add Subscriber” box, click “proceed” and follow the remaining instructions.
  • You can file a formal comment by writing to: Clerk of the Commission Public Utility Commission 112 State Street Montpelier, VT 05620-2701 Or via the Commission’s electronic portal by following the steps listed below:
    • visit http://puc.vermont.gov/epuc-information/case-and-document-search
    • click on “Search by Case Number”
    • enter 18-0491-PET in the “Search Case by Case Number Portal” box, then click “search”
    • click on the case number in the search results
    • in the drop down menu under “Case Details” select “Add Public Comment” and follow the remaining instructions
  • The Buyer (together with the City and Blue Water) will submit a petition to the Vermont Public Utilities Commission seeking a Certificate of Public Good within sixty (60) days of execution of the Asset Purchase Agreement. (See Section 9.03)

We value hearing what we can do to improve your overall experience with Burlington Telecom and welcome your feedback. Phone: 802-240-0007 Email: Contact Us In Person: 200 Church Street, 2nd Floor (at King St intersection) For monthly e-news updates, please contact Customer Service to confirm we have your current e-mail address on file. To review eliminated bids and other related documents CLICK HERE

FREQUENTLY ASKED QUESTIONS

Has Burlington Telecom been sold?

The agreement between the City of Burlington and Citibank utilizes financing provided by Blue Water Holdings LLC (“Blue Water”), an entity formed by local businessman Trey Pecor with the backing of Merchants Bank. In this transaction approved by the Public Service Board, Blue Water has purchased equipment from Citibank and other assets of Burlington Telecom, and leased all assets back to the City in a structure similar to the original Citibank lease. The City continues to control and operate BT, completing the sale transaction and transfer of assets.
The Blue Water Agreement left the City with the choice of who will eventually buy BT. This critical provision gave the City four years to find a purchaser or partner with a vision for BT that is aligned with the City’s and one which will continue to provide a positive community and economic development impact.
Will this affect my service?

BT will continue to operate as usual with no change to your service during the completion of the sale transaction.
Do I need to find a new internet/cable/phone provider?

BT is here to stay. We will continue to provide all of the services customers expect and rely upon.
Will the $16.9M be paid back?

The settlement of the Citibank lawsuit and the Blue Water financing provide the best opportunity for the City to recover some of the $16.9 million. Following the completion of the sale, the City will receive twenty-five percent of net sale proceeds (after payment to Blue Water of the non-amortized balance of $6 million and other deal costs and deductions and a split with Citibank). The Schurz Asset Purchase Agreement also gives the City of Burlington an opportunity to retain a meaningful carried equity interest in Burlington Telecom.