You don't want the municipality to provide you with Internet service. You want them to provide you with fiber service. Then they let you pick a private actor to provide you with services over that fiber (internet, voip, iptv, etc). That's how the system was where I lived in Sweden and it worked great.

The fiber network was built and maintained by the local municipality-owned power company who knows a thing or two about running grids (and already had conduits running all over the place)