Minutes 11/12/2019 - Laserfiche WebLink

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November 12, 2019  Shortly after the announcement, the cities of Portsmouth, Chesapeake, Norfolk, Suffolk and Virginia Beach, working through the Hampton Roads Planning District Commission, began to meet to discuss how to leverage the location of the transatlantic cables for the benefit of the local and regional economies.  The localities determined that they would each benefit greatly from the construction of a regional connectivity ring. The connectivity ring would serve as an “information highway”; a ring of glass fiber capable of transmitting almost unlimited amounts of data and video. Portions of the ring would be constructed in each city and the ring as a whole would encircle the region.  The ring will: Benefit education by allowing educational facilities to digitally connect; o Benefit residents by serving as “the middle mile” between the transatlantic cables o and internet providers; and Benefit existing businesses and economic development by offering the bandwidth o needed in today’s business environment.  To plan for and implement the ring, the cities have: Completed 30% plans for the ring design, including a proposed route. o Evaluated available funding mechanisms for the ring. o  The funding evaluation included exploration of a public-private partnership and the possibility of receiving grant funding from the Commonwealth. However, the cities have determined that the most viable funding mechanism would be the creation of a Regional Broadband Authority under the Virginia Wireless Service Authorities Act, §§ 15.2-5431.1 of the Code of Virginia. Discussion:  The Regional Broadband Authority will have the capacity to undertake the construction, maintenance, and operation of the regional connectivity ring.  The Authority will be governed by a Board consisting of one Director and one alternate appointed by each participating locality.  At its meeting on October 22, 2019, City Council held a public hearing regarding the creation of the Authority.  At its meeting on November 12, 2019, City Council will consider adoption of a Resolution authorizing the creation of the Authority.  The Resolution proposed for Council consideration will be considered for adoption in substantially the same form by each participating locality and, if adopted by all localities, th will take effect on November 15. The Resolution sets forth and approves the proposed initial Articles of Incorporation for the Authority.  The Resolution also authorizes the City Manager to take such further actions as are necessary or convenient to cause the necessary documents to be prepared and executed for the creation of the Authority. This will likely include execution of a Comprehensive Agreement for Formation of a Wireless Service Authority in substantially the form attached as an Exhibit to this CMR.  If the formation of the Wireless Service Authority is approved by all participating localities, the following are the next steps: The Authority will be created and the Articles of Incorporation will be filed with the o Commonwealth. The Comprehensive Agreement will be executed by all localities. o A Request for Proposals for the completion of the plans for the connectivity ring o will be issued. Based upon the completed plans, cost estimates will be obtained for construction o of the ring. The localities will need to provide the capital for the initial construction of the ring. o The contribution from each locality will be negotiated based on the cost estimate. The ring will be constructed. o After the ring has been constructed and is in operation, it is anticipated that the o Authority will break even financially. Financial Impact:  The City will be required to contribute its share of capital for the initial construction of the connectivity ring.