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File #: 22-1750    Version: 1 Name: 11/21/22 Fiber Optics Network 3-Year Cost Benefit Analysis
Type: Resolution/Public Hearing Status: Passed
File created: 11/21/2022 In control: City Council
On agenda: 11/21/2022 Final action: 11/21/2022
Enactment date: 11/21/2022 Enactment #: R-22-376
Title: Resolution to Authorize Access by Commercial Users to the City of Ann Arbor's Fiber Optic Network
Attachments: 1. A2 Community 3-Year Cost Benefit Analysis - Final.pdf, 2. WLN clipping Fiber Optic Network - Public Hearing Notice.pdf

Title

Resolution to Authorize Access by Commercial Users to the City of Ann Arbor’s Fiber Optic Network

Memorandum

The City of Ann Arbor (“City”) constructed its first fiber optic network, A2 I-NET, in 2017.  It is currently in the process of constructing a second network, Technology Park, and beginning to design a third network, the A2-Ypsilanti Broadband Network. All three networks will eventually be connected (“the Network”).  The City now intends to allow for commercial customers to access, activate and use the City’s non-active fiber on the Network, known as “dark fiber.”  Commercial enterprises connecting to the City’s dark fiber may activate the fiber and use the Network for their own business purposes, or they may in turn provide telecommunications services to the community at large (e.g., internet service providers, or ISPs). 

 

The City developed a projected 3-year cost-benefit analysis thirty (30) days in advance of a public hearing to meet the requirements of the Metropolitan Extension Rights-of-Way Oversight Act (the “METRO Act”), MCL 484.3101 et seq, to authorize use of the City’s dark fiber on the Network by commercial customers.

 

Budget/Fiscal Impact: Revenue generated from dark fiber use agreements will be used to maintain the Network, connect new City locations to the Network, and fund future City infrastructure projects.

Staff

Prepared by:                     Tom Shewchuk, Information Technology Service Unit Director

Reviewed by:                      John Fournier, Deputy City Administrator

                     Marti Praschan, Financial Services Area Administrator and CFO

                     Michelle Landis, Senior Assistant City Attorney

Approved by:                       Milton Dohoney Jr., City Administrator

Body

Whereas, The City has performed a 3-year cost-benefit analysis which has been made available to the public for thirty (30) days and has conducted a public hearing, both requirements of the METRO Act, in order to provide telecommunications facilities, such as dark fiber on the Network, to commercial customers;

 

Whereas, The City’s dark fiber will be offered for use by commercial enterprises and/or organizations that could potentially serve residents; and

 

Whereas, Revenue generated by use agreements for connections to the City’s dark fiber will be used to fund the maintenance of the Network, add additional City sites to the Network, and fund future City infrastructure projects;

 

RESOLVED, That the City authorizes use of the City’s dark fiber on the Network by commercial enterprises or organizations for their use, and/or to provide telecommunication services to the community at large (e.g., internet service providers);

 

RESOLVED, That revenue generated from use of the City’s dark fiber will be used to fund the maintenance of the Network, connect additional City sites to the Network, and fund future community infrastructure projects;

 

RESOLVED, That the City Administrator is the authorized representative and is authorized to sign all documentation required to facilitate use of the City’s dark fiber; and

 

RESOLVED, That the City Administrator be authorized to take the necessary actions to implement this resolution, and execute any necessary documents or amendments, including but not limited to dark fiber use agreements on behalf of the City.