Private Provider RFP UPDATE February 27, 2017 1 Executive Summary - - PowerPoint PPT Presentation

Private Provider RFP UPDATE February 27, 2017

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Providers submitting proposals: 6 Charter – met financial threshold requirements

• Proposal for six towns
• Requests additional funding for 3 towns
• Requires all selected towns to participate

Comcast – met financial threshold requirements

• Proposal for 4 towns; 3 towns non-severable; Princeton bid separately; 2 towns overlap with

Charter;

• Requests significant additional funding for all 4 towns
• Choosing Charter over Comcast could mean two towns could be excluded

Mid-Hudson – did not meet minimum financial requirements

• MBI needs to understand Mid-Hudson’s strategy for selecting the one town they picked

Crocker – did not meet minimum financial requirements

• Proposal is for 38 towns: requires 50% take rate / cover 70% of town at $2000 per subscriber

requires 75% take rate / cover 96% of town at $3000 per subscriber Fiber Connect – did not meet minimum financial requirements

• Proposal to serve 8 towns; backed by private equity investor

Westfield Gas & Electric

• Offered to be involved as a Network Operator

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Executive Summary

• Meets minimum threshold criteria. Reduced long-term operational risk for towns.
• Tech: Hybrid Fiber-Coaxial Cable
• All six towns non-severable
• ~2.5 years to complete
• 60m/4m for $59.99 to 100m/4m for $124.99, Triple Play available

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Charter

Municipality Requested Grant Funding MBI Construction Allocation Additional Funding Requested Proposed Coverage % of Total Premises Egremont $660,000 $303,276 96% of 920 Monterey $680,000 $613,150 96% of 874 New Salem $400,000 $547,239 96% of 464 Hancock $480,000 $0 96% of 682 Princeton $910,000 $0 100% of 1,325 Shutesbury $510,000 $0 96% of 845 Total $3,640,000 $1,463,665

• Meets minimum threshold criteria. Reduced long-term operational risk for towns.
• Tech: Hybrid Fiber-Coaxial Cable
• 3 towns non-severable. Princeton bid separately.
• Construction schedule not specified
• 10m/2m for $49.95* to 200m/20m for $87.95, Triple Play available

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Comcast

Municipality Requested Grant Funding MBI Construction Allocation Additional Funding Requested Proposed Coverage % of Total Premises Goshen $450,000 $1,010,000 96% of 585 Montgomery $300,000 $725,000 96% of 360 Princeton $910,000 $640,000 100% of 1,344 ** Shutesbury $510,000 $1,145,000 96% of 845 Total $2,170,000 $3,520,000

*Also provides an offering of 10 Mbps/1 Mbps service for $9.95/month to families with a child eligible for National School Lunch Program. **Based on Comcast’s own data collected from a physical walk-out within the Town.

• Below minimum threshold criteria
• One town – Tyringham
• Tech: Fiber (91%), Fixed Wireless (6%)
• 10 – 12 months to complete
• 25m/5m for $89.95 to 100m/20m for $199.90*, no video

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Mid-Hudson Data Corp.

Municipality Requested Grant Funding MBI Construction Allocation Additional Funding Requested Proposed Coverage % of Total Premises Tyringham $260,000 $71,500 ** 97% of 308 Total $260,000 $71,500 **

*Will offer three separate speed packages available to wireless subscribers ranging from 10mb to 24mb download. Prices for wireless packages not specified. **Estimated cost to town for building of 1.4 miles of infrastructure to link Main St. to Goose Pond via fiber optic cabling. Estimate includes installation of 30 -35

• ft. utility poles, installation of anchors with downguys, and placement of 1.4 miles of strand.

• Below minimum threshold criteria
• Tech: Fiber
• Request MBI grant funding of $18.33M
• 70% coverage: w/ 50% presubscription & $2K contribution per subscriber
• 96% coverage: w/ 75% presubscription & $3K contribution per subscriber
• Single tier internet $85/ month, no video

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Crocker

Municipalities Requested Grant Funding MBI Construction Allocation Additional Funding Requested Proposed Coverage % of Total Premises 38 Towns $18,330,000 $22,869,000 * 70% of 21,201 38 Towns $18,330,000 $51,455,250 ** 96% of 21,201

*Shows projected total additional funding for 38 towns if 50% presubscription threshold is reached with $2K contribution from each subscriber. **Shows projected total additional funding for 38 towns if 75% presubscription threshold is reached with $3K contribution from each subscriber.

• Below minimum threshold criteria. New purpose LLC – Established in 2015. No

financial information shared.

• Backed by private equity investor in software, communications, and storage
• sectors. Partner at Bessemer’s Venture.
• Two proposals: 2 towns (Monterey and Egremont); 6 towns (Alford, Becket, New

Marlborough, Otis, Tolland, Tyringham)

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Fiber Connect

Municipality Requested Grant Funding MBI Construction Allocation Additional Funding Requested Proposed Coverage % of Total Premises Monterey * $680,000 $585,000 98% of 798 Egremont * $660,000 $100,000 98% of 922 Alfrod $270,000 $468,000 96% of 342 Becket $1,290,000 $3,132,000 96% of 1,823 New Marlborough $920,000 $2,384,000 96% of 1,086 Otis $1,080,000 $1,680,000 96% of 1,687 Tolland $430,000 $964,000 96% of 537 Tyringham $260,000 $536,000 96% of 308 Total $5,590,000 $9,849,000

*Fiber Connect has begun Make-Ready work in Monterey and Egremont.

• Willing to work with any unserved town under

municipal ownership model

• Proposed Services:
• Design and engineering
• Procurement
• Project management
• Network operation
• Did not request specific funding under this

procurement

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Westfield Gas & Electric

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Communications Plan

Brief Governor's Office 1/19/2017 Brief Western MA Legislative Delegation 1/20/2017 Post Private Provider Submissions 1/23/2017 MBI Community Liaison and PM’s Engage Towns w/ Viable Path to Discuss Options w/ Selectboard Member 1/23/2017 – 3/21/2017 Public Open Meeting In Western MA 2/16/2017 Brief MBI Board of Directors – Town Preference & PP RFP 2/27/2017 Towns Selectboards Must Notify MBI to Opt out or Opt in to the MBI Private Providers Offering – Recommend a Select board vote following a public meeting or Town meeting vote Friday 3/24/2017 Issue Final Recommendations to MBI Board 3/28/2017

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Map of Towns by Provider