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HomeMy WebLinkAbout20200608 - Hastings Utilities Committee Presentation June 8 2020 [Read-Only] DAKOTA BROADBAND BOARD AND THE CITY OF HASTINGS Hastings Utilities Committee Presentation June 8, 2020 CURRENT STATE Overview of the Network Annual Cost CNET Revenue Formula 2 EXISTING NETWORK IN HASTINGS Due to the location of county government services in Hastings, Dakota County has invested in a significant amount of fiber in the community. Additional collaboration with private partners has resulted in the connection of some core community sites in the city including City Hall, Public Works, and Public Safety buildings. 3 DBB ANNUAL COST Total 2020 operational budget for the Dakota Broadband Board (DBB): $905, 670 • City of Hastings portion in 2020: $18,926 (1.7% of total cost) • Includes $4,000 annual member/access fee • Individual member cost is based on three factors: • Network operations are allocated based of total asset value in the network • Locates contract costs are allocated based on the number of route miles of fiber • All other operational costs allocated based on population • Annual cost covers operational budget items including fiber maintenance and • project management 4 OPPORTUNITY TO OFFSET CITY INVESTMENT CNET REVENUE SHARING FORMULA DBB Revenue Sharing Example: Total CNET Project Annual Revenue: $100,000 Project City (50% of Revenue): $50,000 45% Divided Based on System Infrastructure: $45,000 3.3% Based on Population: $3,300 1.67% to Dakota County: $1,670 Based on existing investments, the city would annually receive approximately $1,000 from a CNET project in another member community with a $100,000 annual revenue. As the city continues to invest in fiber, its share of the revenue would increase. 5 OPPORTUNITIES FOR THE FUTURE Connect Community Facilities and Sites Economic Development Emergency Preparedness 6 CONNECT COMMUNITY SITES Efficient Use of Public Resources Enhance Public Experience 7 CONNECT COMMUNITY SITES Efficient Use of Public Resources Upfront investment in infrastructure reducing costs long-term • DBB economy of scale for maintenance and operational costs • Enhance Public Experience Fiber connections at parks and other public spaces in Hastings • Example: Lake Rebecca Park proposed enhancements • Improved customer service through expanded communication and efficiencies in • process Increase public safety • 8 ECONOMIC DEVELOPMENT Expansion and Promotion of Businesses 2040 Comprehensive Plan Goals Collaboration with Private Sector Entities 9 ECONOMIC DEVELOPMENT Expansion and Promotion of Businesses/Facilities DBB as a partner to promote opportunities for expansion and community investment • 2040 Comprehensive Plan Goals Economic Competitiveness Plan Objective #4: “Support the expansion of all • broadband/fiber internet access service options to residents and businesses throughout the community” Collaboration with the Private Sector to Expand Service to the Community DBB will not be a retail provider of services to business and residents • Partnerships support enhanced opportunities to serve unserved/underserved residents • 10 EMERGENCY PREPAREDNESS Redundancy Enhanced Communication to the Public Fiber as an Essential Utility 11 EMERGENCY PREPAREDNESS Create and Expand Redundancy DBB Network focus on redundant rings and fiber routes to enable continued service • even with unexpected outages Enhanced Communication to the Public Ability of the city to receive and process data/information internally will enhance the • ability to quickly communicate with the public Fiber as an Essential Utility Businesses and residents depend on internet access in all aspects of their lives • 12 SUMMARY The City of Hastings has a unique opportunity to utilize fiber moving forward • given its location in Dakota County Connection to the internet is critical to all stakeholders in the community, and • is necessary for the public, private, and non-profit sector to be successful As a member of the DBB, the City of Hastings has the ability to influence • regional decisions, to benefit from a collaborative, county-wide network of communities, and to efficiently leverage public dollars Continued partnerships between the public and private sector are valuable • when trying to meet the needs of city residents 13 Questions? Carah Koch Dakota Broadband Board | Executive Director ckoch@farmingtonmn.gov 14