MOUNT DESERT — The town will pay $338,750 as its share of the cost of extending broadband internet service to about 325 potential customers in the Pretty Marsh area, but a state grant will cover $100,000 of that amount.
Time Warner Cable will pay the remainder of the $763,626 cost of the project.
At town meeting last May, residents voted to authorize the town to issue bonds of up to $350,000 to split the cost of the extension with the cable company.
In June, ConnectME awarded the town a $100,000 grant to help pay for the extension. ConnectME is the state agency that was set up to help achieve “universal availability of broadband” service in Maine.
Time Warner will extend its existing cable a total of 25.7 miles to provide internet access to residents of 31 roads including Pretty Marsh, Bartlett Landing, Indian Point, Oak Hill, Parker Farm and Whitney Farm roads.
The agreement between the town and Time Warner that the Board of Selectmen approved last week stipulates that the company “shall complete the installation of the extension no later than seven months from the receipt of all pole permits and licenses necessary … subject to excusable delay.”
Town Manager Durlin Lunt said he expects the extension project to be completed this fall.