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HomeMy WebLinkAboutAGENDA REPORT 2025 0402 CC REG ITEM 09C SUPPLEMENTALMOORPARK CITY COUNCIL SUPPLEMENTAL AGENDA REPORT TO: Honorable City Council FROM: Brian Chong, Assistant to the City Manager DATE: 04/02/2025 Regular Meeting SUBJECT: Consider Ordinance Allowing the Use of Microtrenching for Fiber Optic Cables and Implementing SB 378; Resolution Establishing Microtrenching Specifications and Standards; License Agreement with Aspire Broadband LLC for Access to and Use of the City’s Right- of-Way for Fiber Optic Cable Installation and Accessory Facilities for Its Network; Smart City Services Agreement between the City and Aspire Broadband LLC by Which the City Obtains Various Services and Physical Infrastructure Improvements from Aspire Broadband LLC for Use by the City; Authorization for the City Manager to Grant Access/Utility Easements to Aspire for Infrastructure Associated with the License Agreement and Smart City Services Agreement; Resolution Amending the Fiscal Year 2024/25 Budget to Fund Civil Engineering Services; and Making a Determination of Exemption Pursuant to the California Environmental Quality Act in Connection Therewith CORRESPONDENCE RECEIVED Subsequent to the publication of the staff report, the attached correspondence was received from Mark McDonald with Siteserver, Inc. Attachments: Email dated 04/02/2025 (Mark McDonald, Siteserver, Inc.) Correspondence dated 04/02/2025 (Mark McDonald, Siteserver, Inc.) Item: 9.C. SUPPLEMENTAL 1 From:Mark McDonald To:Brian Chong Subject:Re: Moorpark Internet / Fiber Optics Date:Wednesday, April 02, 2025 2:09:55 PM Attachments:Letter to Moorpark City Council - April 2, 2025.pdf ATT00001.htm Importance:High Hi Brian, Attached is a summary of what we can bring to the City of Moorpark — and I think we’ve pulled out all the stops. I would appreciate it if this could be presented to the Mayor and City Council members for tonights meeting. This proposal saves the City tens of thousands of dollars while providing the residents of Moorpark more affordable Internet service with faster speeds. Our proposal is based on the assumption that we would have access to the City-owned conduits currently in place for fiber optic deployment. It’s truly forward-thinking that the City invested in this infrastructure, and it’s a key factor in allowing us to deliver these services at no cost to the City. I strongly believe it’s worth the City’s time to compare both proposals before making a decision on a project of this scale. While we hope to gain the extension from City Council, I hope we have your support and that of your team. Regardless of the outcome, I’m confident this process will help the City secure the best deal possible. In addition to what’s outlined in the agreement, here are a couple of technical value-adds we’d be happy to provide: 1.We can provision the 50 1Gbps Smart City endpoints as either Layer 3 (Internet-facing) or Layer 2 backhaul directly to City Hall (or another facility of the City’s choosing). 2.If security cameras are of interest, we can either offer a fully managed surveillance system or coordinate on-site camera installations while fiber crews are active at those locations — minimizing disruption and cost. Please let me know if you have any questions — we’re happy to tailor any part of the plan to meet the City’s goals. 2 Mark McDonald Siteserver, Inc. 4514 Ish Dr. Simi Valley, CA 93063 April 2, 2025 Mayor and Honorable Members of the Moorpark City Council 323 Science Dr. Moorpark, CA 93021 Subject: Request to Postpone Aspire Broadband Agreement to Allow Review of Competitive Proposal Dear Mayor and Councilmembers, I hope this letter finds you well. We are writing to respectfully request that the City Council delay action on the proposed License and Smart City Services Agreements with Aspire Broadband LLC, currently scheduled for consideration on April 2, 2025, for a period of 30 days. This additional time would allow the City to review a competitive proposal from our company that we believe offers superior value to Moorpark residents and the City of Moorpark. This agreement just came to our attention yesterday after reaching out to the City to gauge interest in a City-wide fiber optic network. Our proposal includes the following benefits over the Aspire Broadband agreement: •Symmetrical speeds up to 10 Gbps available network wide, compared to 2Gbps with Aspire •Entry level pricing starting at $50/mo to encourage higher adoption rates (more City revenue) •Zero-cost Smart City 1Gbps Internet to 50 locations of City’s choosing @ 1Gbps, then $20/mo •Deeply Discounted Smart City 10Gbps Internet up to 10 locations for $100/mo each. (~60% less than Aspire) •Deeply Discounted Smart City Dark Fiber @ $20/strand/mo (~33% less than Aspire) •No increases to City rates or service for 5 years (Aspire increases 3%/year beginning year 1) •Larger network footprint to include key additional locations lacking high speed, reliable internet Phone: 805.578.2000 Fax: 805.579.7036 www.siteserver.com 4514 Ish Dr. Simi Valley, CA 93063 Page 1 3 The benefits above result in savings to the City in excess of $15,000/year while providing higher speeds and lower rates to Moorpark’s residents and businesses. We strongly support the City’s commitment to digital equity and competition. However, we are concerned that approving a long-term agreement with Aspire without reviewing competitive alternatives will lock the City into a relationship that offers lower speeds with higher pricing for end users and higher fees for the City. A full rate comparison is listed on the following page. Given the long-term implications of this agreement, we respectfully urge the Council to consider all available options before making a decision. We are prepared to deliver a complete proposal within the next 20 business days, including coverage maps, financial terms, and deployment timelines which in nearly all aspects are similar to the agreement as written. We can deliver a set of plans for Phase 1 of the development by May 1st, 2025 and break ground within 5 business days of permit issuance. For some background on our company, Siteserver has been in Ventura County since 1996 and operates a Data Center in Simi Valley with over 500Gbps of active network capacity. We have an extensive Fiber Optic footprint throughout Ventura County that makes Moorpark an ideal location for this fiber optic project. In addition, we operate numerous wireless towers throughout Ventura and LA Counties that are capable of providing full network redundancy to critical locations in the event of fiber optic outages caused from natural disasters (seismic events, etc). Through this network we currently have hundreds of existing customers in Moorpark and maintain excellent relationships with Multi Tenant property owners, HOA’s, and more. These relationships allow us the ability to quickly expand the network onto private property utilizing our existing relationships. All of our employees live locally in Ventura County and our 24x7 customer support center is located just minutes away from Moorpark in Simi Valley which results in rapid response times for service issues. Our contractor, Underground Solutions, has worked with us on numerous projects and has an excellent track record for performing high quality work. They have deployed FTTH (Fiber to the home) to over 20,000 homes and businesses throughout Southern California in the past 2 years. Thank you for your leadership and for considering this request in the best interest of the community. We are available to meet at your convenience and look forward to the opportunity to partner with Moorpark on its broadband future. Sincerely, Mark McDonald CEO, Siteserver, Inc. markm@siteserver.com | 805.857.5614 Phone: 805.578.2000 Fax: 805.579.7036 www.siteserver.com 4514 Ish Dr. Simi Valley, CA 93063 Page 2 4 Network Pricing Comparison Provider Download (Mbps)Upload (Mbps)Monthly Cost Aspire (Tier 1)500 500 $80.00 Aspire (Tier 2)1000 1000 $95.00 Aspire (Tier 3)2000 2000 $120.00 AT&T (Fiber, Tier 1)300 300 $65.00 AT&T (Fiber, Tier 2)500 500 $75.00 AT&T (Fiber, Tier 3)1000 1000 $90.00 AT&T (Fiber, Tier 4)2000 2000 $155.00 AT&T (Fiber, Tier 5)5000 5000 $255.00 Spectrum (Tier 1)500 20 $90.00 Spectrum (Tier 2)1000 35 $100.00 Siteserver (Tier 1)200 200 $50.00 Siteserver (Tier 2)500 500 $60.00 Siteserver (Tier 3)1000 1000 $70.00 Siteserver (Tier 4)2500 2500 $90.00 Siteserver (Tier 5)10000 10000 $120.00 Phone: 805.578.2000 Fax: 805.579.7036 www.siteserver.com 4514 Ish Dr. Simi Valley, CA 93063 Page 3 5