Remember how the city of Philadelphia and Verizon were having issues over a city-wide Wireless option? Well it looks as if they have come to an agreement that is going to work for all involved.

The city of Philadelphia has reached an agreement with Verizon Communications that will let the municipal government deploy a citywide Wi-Fi network, but a carrier-backed bill that would let incumbent carriers block such projects has been signed into law by Pennsylvania’s governor.

Philadelphia announced earlier this year that it plans to deploy a wireless broadband network beginning in June 2005 and charge subscribers to use it. Pennsylvania House Bill 30, a broad telecommunications act signed into law this week by Governor Edward Rendell, gives incumbent local carriers such as Verizon the right to keep local governments from setting up paid services like Philadelphia’s after January 1, 2006. On Tuesday, Verizon waived this right of first refusal on the Philadelphia project, according to representatives of Verizon and of the city’s mayor, John Street.

Broadband Access

At issue is the availability of broadband Internet access to residents of Philadelphia, where city CIO Dianah Neff says about 60 percent of the neighborhoods don’t yet have high-speed data service. The city aims to fill in gaps in broadband availability, such as in low-income neighborhoods, at an estimated price of $15 to $25 per month, according to Neff.

The new law re-enacts and expands a part of Pennsylvania’s Public Utility Code that, among other things, mandates broadband access for every resident by 2015.