Title
AN ORDINANCE CREATING A FUND ENTITLED "BROADBAND SERVICE FUND (510)"; AND DECLARING AN EMERGENCY.
Executive Summary: This is to establish the Broadband Services Fund to account for the activity of the new initiative. This will be classified as an Enterprise Fund.
Body
Legislative History
Resolution 14-122 (passed October 1, 2014) authorized a professional services contract with Magellan Advisors for a Broadband Needs Assessment and Business Plan
Resolution 15-31 (passed March 3, 2015) authorized a professional services contract with Magellan Advisors for the deployment phase of the broadband project
Purpose & Explanation
The purpose of establishing a separate fund for the broadband initiative is ensure separate accounting of revenues and expenses of the new system. This fund is considered an Enterprise Fund which is intended to be self-supporting through user fees. Revenue within the fund will be borrowing proceeds (for the initial build out) and user fees from subscribers to the fiber and/or voice system. Expenses will include personnel, operating, capital and debt repayment costs. Personnel costs will include employees assigned directly to the broadband operations as well as staff time from various departments that assist in the project.
Timing Considerations
We are requesting emergency language in order to meet our pilot project deadlines.
Fiscal Impact
Currently Budgeted
Supplemental Appropriation Required
X Appropriation Not Required.
Recommendation
Suggested Action
Staff recommends Council approve creating the new Broadband Service Fund (510)
Submitted by,
Jane Howington, City Manager
Jeff Knoblauch, Finance Director