Internet Plan

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Staff Report #AD-18-21

Meeting: Committee of the Whole - 07 Jun 2021 Staff Contact: Ashley Watson, John Pinsent, Subject: Internet Plan

Suggested Motion THAT Council receives report AD-18-21; AND THAT Council approves the Internet Plan and all costing in report AD-18-21.

Background & Discussion Background

Broadband is a multi-dimensional communications medium that transmits large amounts of data very quickly through fibre optic, coaxial cable, DSL, satellite or even through cellular service. In 2016, the Canadian Radio- television Telecommunications Commission (CRTC), who regulates the telecommunications industry, declared that broadband is a vital and basic service and established a universal service objective that Canadians have access to broad internet services (minimum 50Mpbs download and 10 Mpbs upload speeds).

In Ramara, few areas have access to high-speed broadband as shown through the Internet Performance Map that can be found at https://performance.cira.ca/ramara. A total of 1,209 tests have been completed in Ramara and found that residents in Ramara are receiving less than 25 Mpbs internet speeds with many people falling in the under 5 Mbps range.

One of Council’s priorities is to enhance internet services (both broadband and wireless) to residents and businesses as the pandemic has accelerated our online presence in the way we work, learn and play at home. As a result, the Township plans to invest in broadband in order to keep up with the growing demand for fast, affordable service and constant connectivity.

Discussion What do we know? In Ramara, we know that approximately 1500 households in the Bayshore Village, Lagoon City and other smaller settlement areas have access to high speed broadband services.

On December 11, 2020, Southwestern Integrated Fibre Technology (SWIFT), announced that it awarded $41.1M in funding support to expand broadband services to 12,700 households and business in Simcoe County. In Ramara, the new fibre-to-home projects will affect households who live in the following areas: Uptergrove, Joyland Beach, Orkney Beach, Fawn Bay and Longford Mills. This will then provide 50/10 broadband services to approximately 1000-1500 households by mid 2022.

On March 26th, the Negotiated Request for Proposal (NRFP) was distributed to various ISPs, posted on the Township's website and posted on a third party tender/bid hosting website (Biddingo). The tender closed on Tuesday, April 13th at 12:00 p.m. In the NRFP, the Township identified six gap areas based on responses from residents and through the CIRA performance tests. The six gap areas area the following areas: Page 2 of 8 Internet Plan

Service Gap Area Location Approximate Households Service Gap A North Ramara (Fairgrounds Road 230 Service Gap B North of Longford Mills 50 Service Gap C Margaret Orr Area 29 Service Gap D Dalrymple Drive Area 55 Southeast of Bayshore Drive Service Gap E 200+ (Amilia and Glenrest Drive area) South of Lagoon City and South Service Gap F 200+ Ramara area Total 764 +

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Ramara’s Action and Progress Service Gap Area A

Service Gap Area A represents approximately 230 households in the North Ramara area. This includes, but not exhaustive of the following roads: Fairgrouds Road, Cronk Sideroad, McArthur Sideroad, Concession Road M/N, Coopers Falls Road, Brooks Sideroad, Concession Road H-I and some other roads in the area.

Short-Term Solution

As this area in receiving little to no internet connection, the Township intends to invest in a short-term solution. The project timeline for this work is expected to start as soon as possible and end in the fall of 2021.

Through the NRFP process, Muskoka Wifi provided a proposal for Service Gap A that would require the installation of two 120’ Towers that would then provide up to 50/10 services to residents in this area. Residents in this area then would pay for packages based on the internet services they require. Internet Speed Internet Package Price (Download/Upload) 10 Mpbs (10/5) $41.49 25 Mbps (25/10) $51.99 50 Mbps (50/25) $73.49 150 Mbps (150/50) $117.75 *Note that these speeds are referred to as a maximum speed and may vary based on service location, administration, tax and additional equipment. Rental fees will apply.

Financial Implication The cost for implementing this wireless solution will be $106,406.21. The Township of Ramara will subsidize up to $100,000 of Muskoka Wifi’s initial investment through a grant (loan amount to be converted to grant) that will be repaid based on service standards and numbers of households being connected.

Long-Term Solution

This area was identified by Bell in one of their applications to Innovation, Science and Economic Development Canada (ISED) for Universal Broadband Funding (UBF) to support Fibre to the Premises (FTTP) to homes in this area. The FTTP project would provide 50/10 connection to residents in the following areas: County Road 169 between Fairgrounds Road to Line 5, area around Fairgrounds road and Coopers Falls Road and areas to the north that is beyond Ramara’s municipal boundary.

Bell applied for UBF funding mid March 2021, and we anticipate knowing the results of this application later in 2021. If this project goes forward, residents in the area would expect to have FTTP services which would allow households, businesses and community institutions to keep pace with changing technology and fully participate in the digital economy.

Financial Implication At this time, Ramara does not know if there would be any financial implication.

Service Gap Area B

Service Gap Area B represents approximately 50 homes in the area north of Longford Mills. This area includes the following roads: Rama Road, Quarry Point Road and Maple Ave. Page 4 of 8 Internet Plan

Long-Term Solution The Township will invest with Rogers and Ruralwave to bring Fibre-to-the-home to 50 households in this area. This will provide 50/10 Mpbs broadband services to residents. This area includes, but not exhaustive of the following roads: Rama Road, Quarry Point Road and Maple Ave

Fibre/Fixed Plans Download Speed Upload Speed Price Per Month Wireless Residential Plans FibreNet 1GIG Fibre 1 Gb/s 250 Mb/s $225 FibreNet 500 Fibre 500 Mb/s 350 Mb/s $185 FibreNet 250 Fibre 250 Mb/s 150 Mb/s $150 FibreNet 100 Fibre 100 Mb/s 50 Mb/s $125 FibreNet 50 Fibre 50 Mb/s 25 Mb/s $ 95 Power Plan 100 Fixed Wireless 100 Mb/s 50 Mb/s $180 Power Plan 50 Fixed Wireless 50 Mb/s 10 Mb/s $140

Financial Implication The cost for implementing services to Service Gap B will be identified at the end of this report.

Service Gap Area C and D

Service Gap Area C and D represents approximately 84 homes in the Margaret Orr and Dalrymple Drive area.

Short-Term Solution The Township will invest with Rogers and Ruralwave to build or attach to structures in this area towerds around 33-45 m in height to provide Fixed Wireless coverage. The network of two new sites will connect to Rogers optical backbone via an existing Ruralwave Fixed Wireless site in Udney and Uptergrove. This will provide coverage, not exhaustive to, 84 homes in the Margaret Orr and Dalrymple Drive area.

Long-Term Solution As both the Federal and Provincial government invest in broadband services to residents, Ramara will look at expanding Fibre in order to provide Fibre-to-the-home or Fibre-to-the-Premises technology for these areas. As no new broadband programs have been announced, this will be in a future application.

Financial Implication Page 5 of 8 Internet Plan

The cost for implementing services to Service Gap C and D will be identified at the end of this report.

Service Gap Area E

Service Gap Area E represents 200 homes in the south-east area of Bayshore Village. This includes the following roads: Glenrest Drive and Amilia Drive area.

Long-Term Solution Rogers and Ruralwave are proposing to build Fibre-to-the-home technology that would provide residents in the area 50/10 Mbps broadband services. Rogers and Ruralwave are proposing to build from the existing optical fibre from Highway 12 to the Gap Area E connecting fibre to the home for all 200+ households.

Residents in this area then would pay for packages based on the internet services they require. Please note that the prices below is just for residential and business prices are available but not included in the report. Fibre/Fixed Plans Download Speed Upload Speed Price Per Month Wireless Residential Plans FibreNet 1GIG Fibre 1 Gb/s 250 Mb/s $225 FibreNet 500 Fibre 500 Mb/s 350 Mb/s $185 FibreNet 250 Fibre 250 Mb/s 150 Mb/s $150 FibreNet 100 Fibre 100 Mb/s 50 Mb/s $125 FibreNet 50 Fibre 50 Mb/s 25 Mb/s $ 95 Power Plan 100 Fixed Wireless 100 Mb/s 50 Mb/s $180 Power Plan 50 Fixed Wireless 50 Mb/s 10 Mb/s $140

Financial Implication The cost for implementing services to Service Gap E will be identified at the end of this report.

Service Gap Area F Service Gap Area F represents over 200 homes south of Lagoon City. This includes the following roads: Long-Term Solution Rogers and Ruralwave are proposing to build Fibre-to-the-home technology that would provide residents in the area 50/10 Mbps broadband services. Please note that this is part of their Universal Broadband Fund application that they are in the process of starting. The area in their application represents Gap Service area F and more and would include approximately 23.93 km of buried fibre and serve around 460 underserved homes and businesses in the south Lagoon City and Gamebridge area.

Fibre/Fixed Plans Download Speed Upload Speed Price Per Month Wireless Power Plan 100 Fixed Wireless 100 Mb/s 50 Mb/s $180 Power Plan 50 Fixed Wireless 50 Mb/s 10 Mb/s $140

Overall Financial Implication for Service Gap B-F

The cost for implementing services to Service Gaps B-F with Rogers and Ruralwave will cost the following: Service Gap Area B $ 349,250 Service Gap Area C&D $ 271,000 Service Gap Area E $1,138,000 Service Gap Area F $1,122,560 Total Cost $2,880,810 Ramara’s contribution $ 375,000

The total cost of servicing area gaps B-F will cost a total $2,880,810.00 with Ramara only having to contribute $375,000.00. The remaining money from the modernization fund will be used to cover the cost of this project in order to help over 780 households receive a high-speed internet connection.

It should be noted that Ramara will be investing in areas which COULD be potentially serviced by other levels of government, but in the spirit of getting it done sooner rather than later, a decision is being recommended to push forward with this ambitious agenda.

Timelines for Service Gap B-F

Service # of Fixed Fibre to Current Next 2-6 months Projected

Gap Area Units Wireless the home Activity Activity Completion

Design work Timing dependant on started, MC access, can begin December B 50 50 ordering construction once 2021 materials approved Confirming site locations, September C&D 84 84 Start Construction ready to order 2021 materials

Timing dependant on Design work MC access, can begin December E 210 210 started construction once 2021 approved Timing dependant on Design work MC access, can begin F 459 459 Q2 2022 started construction once approved Total 803 84 719 Page 7 of 8 Internet Plan

Overview and next steps

At this time, we are still waiting to hear from to government funds: ICON and UBF. However, between Rogers, Ruralwave and Muskoka Wifi, over 800 households, through a combination of fibre and fixed wireless solution, will have 50/10 connectivity to their households.

As identified in Roger’s NRFP, phase 1 is addressing the service gaps in the areas from A-F. Phase 2 would be to build to all the remaining underserviced homes and business coverings in the ‘leave no home behind’ strategy. Rogers intends to jointly fund this model in partnership with the Township or Federal & Provincial Government support, which will result in more than 250 km of fibre to approximately 2,000 underserved homes. Rogers fees that this project can be completed within three years with funding in place from higher levels of government.

Alternatives At this time, there are no alternatives.

Financial Information The financial implications, as stated in the report, are the following: 1. For service gap A, the Township of Ramara will subsidize up to $100,000 of Muskoka Wifi’s initial investment through a grant (loan amount to be converted to grant) that will be repaid based on service standards and numbers of households being connected. 2. The total cost of servicing area gaps B-F will cost a total $2,880,810.00 with Ramara only having to contribute $375,000.00. The remaining money from the modernization fund will be used to cover the cost of this project in order to help over 780 households receive a high-speed internet connection.

Strategic Priority Areas:

Do the recommendations of this report advance the Strategic Priority Areas of the Township?

☑ Yes ☐ No ☐ N/A

Which Priority Area(s) does this report support?

☑ Workforce that is skilled and motivated ☑ Community that is involved and engaged ☑ Operations and services that are defined, prioritized and sustained ☑ Growth is planned, promoted and fostered

Policy Implications: At this time, there are no policy recommendations.

Recommended Action: THAT Council receives report AD-18-21; AND THAT Council approves the Internet Plan and all costing in report AD-18-21.

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Reviewed By Approved By: Department: Status: Zach Drinkwalter, Finance Approved - 03 Director of Department Jun 2021 Finance/Treasurer John Pinsent, Chief Executive Services Pending Administrative Officer Department