Owensville residents may soon look forward to a new internet service provider in town, pending the execution of a contract currently under negotiation between the city and Radio Wire.

Last year, Jefferson City company Radio Wire approached the city of Owensville to use one of their existing towers to provide internet service to the area. However, according to City Administrator Randy Blaske, the city had something better in mind — a new tower to support communications for emergency services.

“We wanted the tower regardless,” Blaske told the Owensville Board of Aldermen at the May 6 meeting. “So this is just helping us offset our costs.”

The original proposal from Radio Wire would have had the city at a paying the $6,135 cost. For that deal, Radio Wire would pay the city $125 per month for use of the tower, and they would split the erection costs. Blaske countered with a five-year deal that would have the city paying for the tower and Radio Wire paying $5,000 for labor and the same rent. This way, the city would see a return on investment in five years of $3,865.

In response, Radio Wire sent back a similar proposal, but extended it out to seven years. Under this agreement, the cost to the city will be around $10,000 to erect the tower, and after seven years, a return on investment of $9,565.

“So in seven years, this tower will be paid off anyway,” Emergency Management Administrator Jeff Arnold told the board. “So it’ll be an asset to the city whether they walk away or stay on it from then.”

The rent amount is based on a progression-based tiering structure, and each year, the agreement will be reviewed to ensure the city is being paid appropriately based on how many users Radio Wire has in the area. Initially, Radio Wire has a starting target of 20 users, with hopes to eventually reach their top tier of 80 users or more.

Radio Wire currently provides service to users in Gasconade, Maries, Franklin, Osage, Callaway, Cole, Miller, Moniteau, and Morgan counties. Their website boasts internet prices as low as $45 per month for 2 Mbps download and 1 Mbps upload. Their most popular package is listed at $55 per month, with 3.4 Mbps download speed and 1.5 Mbps upload speed.

The seven-year agreement has been sent back to Radio Wire by the city, and they are awaiting word on its finalization.