If you want an ISP that doesn’t track your every online move, you can ensure that through municipal broadband
Controlling the means of connection
Saul Tannenbaum

Good read, thanks for that. I also believe that municipal (or any other form of community-built) broadband is the solution to many ills. Above all, however, there needs to be a clear structural separation: the physical layer should be most certainly treated as a shared public asset. The active (or wholesale) layer should be run like a concession and the retail layer should have open and transparent pricing.

All of that to say: the municipality doesn’t need to provide a privacy-focused ISP, or any other specialty ISPs. The municipality must provide the fertile ground where local entrepreneurs can bring those ISPs to life.