COMMITTEE MEMBERS Civic Center Laura M. Hoffmeister, Chair 1950 Parkside Drive Ronald E. Leone, Committee Member Concord, CA 94519 www.cityofconcord.org Special Meeting of the Infrastructure & Franchise Committee Monday, March 19, 2018 5:30 p.m. Garden Conference Room, Wing A 1950 Parkside Drive AGENDIZED ITEMS – The public is entitled to address the Committee on items appearing on the agenda before or during the Committee’s consideration of that item. Each speaker will be limited to approximately three minutes. 1. ROLL CALL 2. PUBLIC COMMENT PERIOD 3. REPORTS a. Review – the proposed Broadband Master Plan and provide direction on the recommendations in the plan. Report by Jeff Lewis, Director of Information Technology. 4. ADJOURNMENT ADA NOTICE AND HEARING IMPAIRED PROVISIONS In accordance with the Americans with Disabilities Act and California Law, it is the policy of the City of Concord to offer its public programs, services and meetings in a manner that is readily accessible to everyone, including those with disabilities. If you are disabled and require a copy of a public hearing notice, or an agenda and/or agenda packet in an appropriate alternative format; or if you require other accommodation, please contact the ADA Coordinator at (925) 671-3031, at least five days in advance of the hearing. Advance notification within this guideline will enable the City to make reasonable arrangements to ensure accessibility. Distribution: City Council Valerie Barone, City Manager Susanne Brown, City Attorney Kathleen Salguero Trepa, Assistant City Manager Joelle Fockler, City Clerk 1 3.a Staff Report Date: March 19, 2018 To: Council Committee on Infrastructure & Franchise From: Valerie J. Barone, City Manager Prepared by: Jeff Lewis, Director of Information Technology [email protected] (925) 671-3159 Subject: Review the proposed Broadband Master Plan and provide direction on the recommendations in the plan. Report in Brief Cities in California and throughout the nation are developing broadband infrastructure to improve City services and enhance economic development opportunities. The City of Concord engaged Magellan to assist with a broadband master planning effort; Magellan is currently assisting 15 Cities in California with their broadband needs. Concord’s draft Broadband Master Plan includes a proposed broadband infrastructure network and discusses various business models used by local government to manage the network. The plan recommends an incremental approach to developing a City- owned model that at a minimum upgrades the City’s antiquated traffic system network and replaces leased lines currently provided by Wave Business Systems to connect City facilities with City-owned fiber. The new fiber network would reduce or avoid annual lease costs but more importantly improve connectivity for City technology applications. The estimated cost of constructing the upgraded network at once is approximately $29 million using an engineering estimate of $1.35 per linear foot. However, by taking advantage of Capital Improvement Plan projects, using a dig once policy approach, obtaining grants, and coordinating with partners, that overall cost could be dramatically reduced. In fact, approximately $4 million worth of the proposed network has already been constructed or is currently in process as part of capital improvement projects that include trenching along the proposed Master Plan’s network. Page 1 of 146 Committee Report Agenda Item No. 3.a March 19, 2018 With a fiber network in place, the Master Plan also evaluates other opportunities to leverage this asset to support economic development efforts and revenue generation through a public private partnership with an Internet Service Provider (ISP). According to Magellan, an additional $9.5 million could fund the installation of business laterals and service connections to create a city-owned broadband network managed by an ISP. This service could generate annual revenue to the City of approximately $1 million at build out, assuming approximately 3,200 customers. The City has been working towards improvements in its broadband network, particularly focused on traffic signals. The most significant challenge the City faces with a more aggressive approach is the need for significant funds to invest in the program. However, even if we continue with an incremental approach having a clear plan is critical, which is the purpose of this Master Plan. Magellan will present the draft Broadband Master Plan for Committee consideration and feedback. Recommended Action Review the proposed Broadband Master Plan and provide feedback. Background Broadband networks provide high speed, wide bandwidth transmission of multiple types of information including data, voice, video and Internet traffic and access. Broadband networks can use a variety of technologies, including coaxial cable, twisted pair copper cable, wireless technology or optical fiber. The method of connecting these networks can greatly affect their speed and performance; optical fiber based broadband networks offer the fastest performance, greatest data capacity and lowest latency (lag time). While broadband networks can be used for many purposes, they are best known for improving the speed and quality of internet access. In order to promote broadband access throughout a community, municipalities have been investing in publically owned fiber-optic cable infrastructure. This includes connecting City-owned assets, such as street lights and traffic signals, to support 5G wireless connectivity. 5G wireless networks will be the key to extending “Smart City” technologies, which rely on increasingly more data for rapid program feedback. 5G wireless communication speeds are estimated to be 1000 times faster than the existing 4G technologies used by new smartphones and mobile devices today. Municipalities that own their fiber networks have the ability to leverage those resources across internal departments to improve City services, such as: Public safety, by allowing for the use of cameras and wireless technologies in the field; Page 2 of 146 Committee Report Agenda Item No. 3.a March 19, 2018 Traffic management, by providing for a stable and reliable network to support adaptive traffic technology that customizes traffic signal operations to traffic demand; Creating infrastructure for the Internet of Things (IoT), i.e. sensors that can assist with parking, garbage disposal, street lighting and other municipal services. Currently, the City leases fiber from an ISP, Wave, at a cost of approximately $100,000 annually. The fiber connects City facilities, including City Hall, the Police Station, Senior Center, Centre Concord, Corporation Yard, Willow Pass Community Center, Todos Santos Plaza, and the Pavilion. The City’s traffic signal system is comprised of 156 signalized intersections, which are connected by copper wire that is antiquated and failing. In 2015, staff retained consultants to prepare a Traffic Signal Master Plan that outlines a commitment to upgrade the existing system with fiber as the backbone infrastructure. The fiber route in the Traffic Signal Master plan has been incorporated into the Broadband Master Plan. Updated traffic signal technology cannot be implemented without the installation of fiber, not to mention the implementation of more advanced technologies that assist with managing traffic circulation, transmitting camera data or communicating with autonomous vehicles. The City has already begun installing new conduit and fiber as portions of the copper system fail; as a result, the City has already begun incrementally working toward the broadband network proposed in the Master Plan. The Master Plan takes a broad look at how that network could be built out to maximize access for not only government use, but private as well in order to support economic development and revenue generation, should the City be in a position to support that type of broadband service. Analysis The strategic plan explored the current state of broadband in Concord and the City’s internal needs, as well as the needs of its businesses and “anchor” institutions, those agencies or businesses with large data communication needs. The plan outlines some of the major benefits of having a fast and affordable broadband infrastructure, including: Municipal and Smart City Services – A robust fiber-optic network is critical to providing “Smart City” services and efficiencies, such as public Wi-Fi, intelligent transportation systems, real-time parking availability on streets and in garages, and smart trash cans that notify staff when service is needed, to name just a few opportunities. Public Safety – Fiber-optic infrastructure is critical for the deployment of security cameras, emergency communications and other public safety related technologies. Economic Development – Broadband can be used to not only support existing Page 3 of 146 Committee Report Agenda Item No. 3.a March 19, 2018 businesses but also attract new businesses that rely on ultra-fast internet access, such as high tech companies, studios, online retailers, banking institutions, research and development organizations and more. Improved Internet Service – Municipal broadband infrastructure not only provides internet service to the business community and anchor institutions, these networks can also serve as a catalyst to increase competition between existing Internet Service Providers (ISP), which in turn improves services and reduces cost. Healthcare – Because of the capability and capacity