An MSU trustee is upset with a move that could bring profits to MSU through a plan to offer high-speed Internet access off campus.

Project Anaconda, which was brought to the Board of Trustee's attention in February, would connect fiber optics throughout mid-Michigan in hopes of luring businesses and residents to tap into MSU's Ethernet capabilities.

But Trustee Colleen McNamara says it is unfair to private businesses to offer the service and the venture is risky.

"The private sector tells me the business isn't there," said McNamara, who serves as executive director of the Michigan Cable Telecommunications Association. "They're chasing after a business that hasn't yet developed."

McNamara, who said trustees have not received regular briefings on the project, added the board wanted more time to discuss the issue when it was first introduced. Without the board's knowledge, McNamara said the university went ahead with the project.

Consequently, McNamara has a proposal on the agenda for Friday's Board of Trustees meeting that states the university would need the board's approval to continue with the project.

But MSU Spokesman Terry Denbow said he doesn't expect the project to face any roadblocks.

"This is not only good for the university, but the MSU community," he said. "An advanced high-speed community has to be made - we're a research university. This needs to happen.

"Nobody appreciates more the relationship of a private-public one than the Michigan Chamber of Commerce."

Denbow added the university is seeking cooperation, not competition, with private companies. He said he believed the board also has been updated regularly on the issue, but Trustee Dee Cook said she was not familiar with Project Anaconda.

Cook added that McNamara's place on the Michigan Cable Telecommunications Association might also be problematic.

"On the surface, it appears this is a conflict of interest," Cook said. "I think it's a deal we have to resolve. I'm sure that's a matter of concern - it should be."

But McNamara said she was told by the university's legal counsel there is no conflict of interest, and she's allowed to vote on her resolution at Friday's meeting.

"That implies there's some sort of financial incentive to be gained," McNamara said. "But it's not like that at all."

Meanwhile, reactions to the project from the Michigan Chamber of Commerce, which governs practices by business in the state, is unfavorable.

A letter from chamber President James Barrett sent last week to Lansing Mayor David Hollister and MSU President M. Peter McPherson - both strong supporters of the project - said the plan was unfair because MSU is a public university, whereas other competition is from the private sector.

"This conflict is not mitigated by your new plan having a single private partner to share in the unfair benefits and advantages afforded to a publicly funded university," Barrett's letter stated. "It appears to us more like misdirected use of public funds on an ill-defined, highly speculative venture."

Trustee Dorothy Gonzales said the plan is acceptable if it offers MSU students living off campus high-speed Internet service competition. Cedar Village provides Ethernet access through MSU's network, which costs residents $36 per month.

"Competition is good - I think you need it," Gonzales said. "You have all these phone companies calling you up and trying to get you to switch. It's a bidding war, and I think they should have a choice."

Kristofer Karol can be reached at karolkri@msu.edu. Melissa Sanchez can be reached at sanche96@msu.edu.