HomeMy WebLinkAbout5 SureWest Broadband Agenda Item #
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9
IStaff Report
To: Board of Directors
From: Alan Harry, Director of Telecommunications Services
Date: May 2, 2003
Subject: Broadband Business Planning —consideration of a Letter of Intent from
SureWest Broadband
Summary
As part of the District's Fiber to the User project a content (video/voice/data) provider must
be located and contracted with. To date staff has met with a number of such providers and
have found that SureWest Broadband, a subsidiary of Roseville Telephone, is capable of
providing the District with the most complete lineup of services.
History
Staff has, for some time, investigated the various ways of receiving and providing
Broadband services which include the building of a complete headend facility and satellite
dish farm, to purchasing services from an existing voice, video and data provider.
After reviewing all options available it has become apparent that the most prudent way in
which to receive content would be to purchase them from a source that can assist in not only
the provision of services, but also all of the necessary back office support. Back office
support could include billing and 24/7-customer care for all services provided.
New Information
Staff has located a provider nearby, SureWest Broadband, who is currently providing video,
voice and data services over fiber in the Sacramento area. Attached are copies of
SureWest's product literature for your review.
•Page 1
Prior to entering into contract negotiations for the wholesale purchase of Broadband
services staff has prepared with SureWest a Letter of Intent, attached, that summarizes our
possible relationship.
Recommendation
It is recommended that the Board approve the Letter of Intent with SureWest Broadband,
and direct staff to enter contract negotiations for the purchase of Broadband services.
0 Page 2
Sur W st.
BROADBAND
June 13, 2003
Mr.Alan Harry RE
Director Telecommunications Services RECU
i'.7
Truckee-Donner Public Utility District _�_ � J�/l0,
11570 Donner Pass Road
PO Box 309
Truckee,CA 96160
RE: Participation in Development Within the
Truckee-Donner Public Utility District
Dear Mr.Alan Harry:
I am writing on behalf of SureWest Communications("SureWest")concerning the proposed plan
by the Truckee-Donner Public Utility District("PUD")to deploy broadband telecommunications services
in areas served by the PUD.
We understand that the PUD is currently evaluating alternatives under which it can offer voice,
data and video services to the approximately 12,000 users within the footprint of the PUD. This fiber-to-
the-user initiative has generated significant positive newspaper reporting and public comment recently.
We also understand that the PUD has been reviewing proposals for funding this initiative, and remains
optimistic that it will be able to move forward in the near future.
SureWest has previously expressed an interest in participating in this activity with the PUD, and
continues to be interested in being the provider of services to residents over transport facilities deployed by
the PUD. SureWest is already an established provider of voice, data,and video services. Indeed, SureWest
offers all of the services being contemplated by the PUD for provision through the media of optical fiber,
and one of SureWest's units already offers a single package of voice,data and video over a single fiber
connection to homes in the Sacramento area. I have taken the liberty of forwarding with this letter some
materials that describe SureWest,its various operations,and the services it provides. We believe that
SureWest would be a constructive partner for the PUD in bringing a wide range of advanced services to
PUD residents,using a partnering and revenue-sharing model.
We would be interested in discussing with the PUD a contractual arrangement whereby one or
more SureWest units would become the primary provider of"telephone service,and other means of
communication", as authorized by the PUD's enabling legislation. We have reviewed the PUD's Master
Service Element for Broadband Telecommunications Services,December,2002,prepared by Sauers
Engineering,and believe that there is ample room to discuss avenues for service delivery consistent with
the expectations of that document. We would offer access to SureWest's expertise in fiber technology,and
work closely with the PUD so that the optimum avenue for service delivery to residents can be selected.
Subject to terms and conditions to be worked out with the PUD,we believe that one or more
SureWest units would be able to provide a single bundled package of services to residents within the PUD
that would include telecommunications access and other telecommunications services,broadband Internet
access service,and video programming services. Such an offering would deliver good value to residents,
and could also allow the PUD and SureWest to benefit financially.
SureWest does not have an interest in assuming a"carrier of last resort"obligation,because there is already
an incumbent local exchange carrier in place within the PUD area who has assumed that role. For
SureWest to assume that status would have significant regulatory implications. However, SureWest would
be willing to discuss with the PUD assurances with respect to comprehensive service delivery.
wvo w.s cr eve e s�b r o a d b a n d.c om
P.O. Box 969, ROSEVI LE, CA 95678.0969
Mr. Alan Harry
June 13, 2003
Page 2
Those details would have to be worked out at some point in the future but prior to any final commitment on
participation, given the need to be able to deliver service economically and at a reasonable profit.
We anticipate that any arrangement with the PUD would position the SureWest unit as the single
primary telecommunications provider in the areas where an agreed service commitment is forthcoming
from SureWest, and the PUD would provide SureWest with the opportunity to deliver broadband Internet
and video programming services in that role in these areas as well.
Any arrangement under which a SureWest unit would provide telecommunications,broadband
Internet and/or video programming services would have to be addressed in a written agreement between
SureWest and the PUD. We would anticipate that such an agreement would define a service"footprint"or
"footprints"within the PUD,and an estimated service delivery timeline that makes business sense for each
of us. It would also establish the nature of the services to be provided through SureWest,and cover other
areas normally addressed in such a development arrangement,such as access to roads and rights of way in
the PUD area,provision of acceptable sites for cable,cabinets and controlled environmental vault facilities,
and otherwise facilitate the efficient provision of the services contemplated. I have taken the liberty of
outlining the relative allocation of responsibility at a high level on the attachment.
This letter is not intended to itself establish any legally binding contractual commitment. This is
only a proposal that outlines the type of commitment that would be made by one or more SureWest entities
under certain circumstances,and after a definitive written agreement is discussed with PUD officials,
drafted, agreed upon by all parties,endorsed by the PUD,and executed. In the absence of such an
agreement,neither of us will have any obligation, duty or liability to the other.
I hope this provides a level of detail that is adequate for your planning purposes. Should you have
any questions,please call me at 916-786-1274.
Sincerely,
Fred A.Arcuri
Sr.Vice President—COO
FA/rns
Attachment: Tentative Allocation of Roles in Service Delivery
Tentative Allocation of Roles in Service Delivery
Truckee-Donner PUD will provide:
• Right-of-way,permits and legal and other authorizations;
• Operating fiber infrastructure within the PUD boundaries;
• All optical equipment and electronics necessary to power and run the fiber network;
• Installation of connections to each unit that can receive service(s);
• Maintenance of the network and connections to each unit that can receive service(s);
• Marketing and brand identification advertising;
• Sales of services to PUD residents who can receive service(s);
• Public,educational and governmental(PEG)access channel content for the cable system;
• Ongoing network maintenance, improvements and upgrades;and
• Coordination with SureWest on standards and practices for the network and service use.
SureWest will provide:
• Voice and other basic telecommunications service(s)under the SureWest brand/name;
• Internet access service(s);
• Cable service(s);
• Additional vertical or other services as agreed by the parties from time to time;
• Content for the cable service offered,directly or through a third parry,other than PEG
content;
• Video on demand and pay-per view service(s);
• Internet hosting(remotely situated);
• Billing and back office customer services;
• Service promotions and advertising strategies and materials;and
• Management of services provided through the PUD network.
The parties together will:
• Plan out the expected phases for construction and deployment of network facilities and
services,with the PUD to make the final determination;
• Agree upon the necessary network architecture to foster cost-effective and competitive
advanced services delivery,with the final decision to be a joint decision;
• Detennine the preferred vendors for procurement of network facilities and services,with the
PUD to make the final decision; and
• Establish any conditions for access to and qualification for receipt of services,with the
decision to be a joint decision,or to have individual decisions allocated between the parties.
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HBO THE WORKS 1:83
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HBO/SHOWTIME MULTIPLEX 319 t • t • t • t t '
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HBO/STARZ MULTIPLEX 209 t t • • t • • :
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Digital Converter w/Remote $ 2.75 first DC with remote control. t Intertainer VOD
$ 5.00 Additional DC with remote control. New Releases $ 3.99
Premium a la carte LibraryTities $ 2.99
HBO $12,95 Monthly TV Movies $ 1.99
Cinemax $ %95 Monthly TV-Living,Sports&Family $ 0.75 30 minutes or less
Showtime $12.95 Monthly TV-Living,Sports&Family $ 0,99 31 minutes or more
The Movie Channel $ 9,95 Monthly Concern less than I hour $ 0.99
Start $12.95 Monthly Concerts more than I hour $ 1.99
Encore/Encore Thematics $ 9.95 Monthly ',
Playboy $12.95 Monthly PPV
Fox Sport Gold $ 1.99 3 channels of the best of Fox PPV Movies $ 3.99 Per movie(some pricing variance for
regional sports action archive tides,etc).
International Programming PPV Events Events priced separately.
Canales N $ 9.95 9-channel Hispanic Package Action PPV $ 3.99 Per movie. Some pricing may vary.
Variedad Autentica $ 2.99 6-channel Hispanic Package PPV Sports Packages Packages priced separately Single games
TV Japan $24 95 available on a par gamdday basis.
TV Asia WIN,
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Zee TV(Asian) amen �syz Spice I &Spice 2 Adult ni PPV $ 6.99 Per ovie.PdcinpJtime blocks may vary.
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Power TV&CCTVA $11.95 Chinese-Both services for one price Hot Bodies $ 5.99 Per one-hour block
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P R O DUCTS & PRICING PRODUCTS & PRICING
1I I I Equipment Charges
WINs1 Digital Converter Replacement Con $375.00
Remote Control Replacement Cost $ 25.00
>• ' ' Smart Card Replacement Cost $100.00
Mbpsof Upto IOMbps,bumtable,a6wson,symmerrical,connection. Standard NIC Card $ 29.95
Internet Up to 30 Gigabytes of unidirectional throughput monthly, PCMCIA Card $ 99.95
Access calculated on an inbound or outbound usage,whichever Official Demarc Replacement $450.00
is higher. One IP address included. Official Gateway Replacement $450.00
E-mail U to 6 e-mail Accounts- Installation Charges
p myname�orwirsLcom. Full-Service Installation $129.95 Includes one video outlet and/or
AGCOUntS connecting to existing outlets,
WlNscreen Web portal access to WINscreen custom features one computer connection,and
Portal Access and content. phone to existing home wiring.
Personal Up to 10 MB for personal Web space. Cable Installation(first outlet) $ 49.95 One outlet.
Web Site Additional Cable Installation $ 19.95 Per new,oudet after first outlet
at the time of initial install.
Anywhere Web enabled e-mail with access from any computer-with
E-mail Web connection. Dam Installation(with NIC Card) $ 49.95 One computer.Includes NIC Card.
Data Installation(without NIC Card) $ 19.95 Per computer after first computer
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• r Additional Telephone Outlet Installation $ 19.95 Per new phone outlet installed.
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ith an additionalcost of$I.SO per Gigabyte above 55Gbs New Home Pre-Wire Coax only $ 39.95 Free installation of services at the
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$99.95 per Month New Home Pre-Wire Coax&CATS $129.95 Free installation of services at the
nbound or outbound usage,whichever is higher,of 95 Gigabytes time of activation(up to 4 jacks).
ith an additional cost of$0.80 per Gigabyte above 95Gbs Additional Pre-Wire Outlets&Jacks $ 19.95 Per outlet and/or CATS jack
Additional plans and packages are available to customers requiring On-Site Visit $ 49.95 Truck roll for non-standard work
throughput above that which is available through WINspeed'° '..
residential service.Please call Customer Care for more information. and repair.Includes up to I hour
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WiNspeedilReturned Check Fee $ 20.00 Addressable up and sidegrades.
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Calling Zones 1,2,3 included Calling Zones I,2,3 included Calling Zones I,2,3 included Calling Zones I,2,3 included
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Personal Features Enhanced Voicemail ( Personal Features
Speed Calling(8) One Enhanced Voicemail Box Speed Calling(8)
Three-way Calling Three-Way Calling
Last Call Return i Last Call Return
Long Distance Alert ( Long Distance Alert
I Additional Features
Six-Way Conference Call
Call Forwarding
Last Call Return
Remote Access to Call Forwarding
Enhanced Voicemail
One Enhanced Voicemail Box
Privacy Plus Privacy Plus Privacy Plus
Caller ID Caller ID Caller ID
Call Waiting Call Waiting Call Waiting
Call Waiting ID Call Waiting ID Call Waiting ID
Caller ID Blocking Caller ID Blocking Caller ID Blocking
Selective Call Rejection Selective Call Rejection Selective Call Rejection
Spec features can be Sped(lc features can be Sped(x features can be
deactivated by customer deactivated by customer deactivated by customer
Long Distance Long Distance Long Distance Long Distance
6 Cents per minute 6 Cents per minute 6 Cents per minute 6 Cents per minute
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PRODUCTS & FIR I C I N G PRODUCTS & PRICING
FEATURES MONTHLY USAGE FEATURES MONTHLY USAGE
CHARGE FEE CHARGE FEE
Basic Phone Line $10.00 Call Waiting ID $ 9.00
Phone line w/unlimited local calling. Zones 1,2&3. Lets you see the number of the incoming call while
you're already on the phone,so you can decide if you
Additional Basic Phone $ 8.00 rant to switch over. Includes Caller ID,Call Waiting,
Phone line w/unlimited local calling. Zones L2 W. and Call Waiting ID.The Call Waking ID unit must be
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Measured Phone Line $ 8.00 $ 0.07
Phone line w/7 cents a minute charge. Zones 1,2&3. Priority Call $ 2.00
Gives your phone a single distinctive ring or Call Waiting
Additional Measured Phone Line $ 8.00 $ 0.07 tone for calls from up to ten selected numbers.
Phone line w/7 cents a minute charge. Zones 1,2&3.
Long Distance Alert $3.00
Long Distance nit $ 0.06 Identify incoming long-distance calls through
Rat fee for all non-loci calls. 18 Second minimum-then a separate ring or Call Waiting tone.
billed in 6 second increments. Mexico billed in 60
second incremena. Must have t local service. Cali Forwarding $3.00
Forwards your incoming calls to a select local,long
International Long Distance distance,or wireless number.You can still make outgoing
Phase contact Customer Care for specific international calls while Call Forwarding is in effect
rates. Billed 30 second^'^'^••rm-then in 6 second
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Lets you dial I=your number cent direct all ails m
Three-Way Calling $ 3.00 another destination if you are rut at home.
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people in two different places at the same time. Selective Call Forwarding $100
Automatically forwards cells from up to ten selected
Six-Way Conference Calling $ 5.00 numbers to any phone number you choose,and lea
You have the ability to conference all with five people the rest ring through.Does not work with Call
in five different places at the same time. Forward Remote Access.
Speed Calling(8) $ 3.00 Call Forward Busy/No Answer $ 1.5c $ 6.00
Lea you assign up to eight of your most frequently Forwards all calls to another pre-selected number when Max iumum
called numbers a one-digit number.Speed Calling works your line is busy or you can't answer the phone.It allows Usage
from any phone in the house that's connected on that you to forward calls to your location,another location,
same line. telephone-answering service,or a voicemail box.
Speed Calling(30) $ 5.00 Last Call Return $ 3.00 $0.7S
Lea you assign up to thirty of your most frequently Return call works in siontions where you missed the last
called numbers a two-digit number.Speed Calling works all and you want to all the same number bade Gives you
from any phone in the house that is connected on that the option of automatically calling that person bade
same line.
Auto Redial/Busy Line Redlai $3.00
Call Waiting $ 3.00 Automatically redials a busy number and rings you back
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Avoid answering calls from unidentified callers.Prevents
Caller ID $ 6.00 incoming calls from ringing on your phone if the caller has
This feature will display the name,date,and time of the blocked the display of their phone number.Waria with and
incoming call.The Caller ID unit must be purchased widuut Caller IDTum it on car off at any time.When on,the
separately caller will hear a recorded message saying that the all will
not be accepted unless the resoicvon is removed.
9 10
PRODUCTS & PRICING PRODUCTS & PRICING
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FEATURES MONTHLY USAGE FEATURES MONTHLY ONE-TIME
CHARGE FEE CHARGE CHARGE
Selective Call Rejection $ 3.00 t Disconnect Forwarding `; 5.00
Programs up to 10 phone numbers that your phone Automatically forwards your incoming calls to
will reject(The last call you receive can even be added another number when you have disconnected your
to the list whether or not you know the number.) phone line. *Measured Rate toll and long distance
Blocked callers will then hear a recording saying that charges may apply.Not available in some areas or
their all will not be accepted. on some calls.Subject to technical availability.
Selective Call Acceptance S 2.00 Disconnection Message n1c
You can program your phone to accept only those calls Leaves message that the line has been disconnected.
from a special list of people.When your service is WlNfirst will automatically place this on your
"turned on;'your phone will accept only calls from disconnected service for a three-month period
those in your Selective Call Acceptance list All others of time.
will hear an announcement that you are not accepting
calls at this time. DIRECTORY LISTINGS
Primary Directory Listing n1c One listing per
9001'976 Blocking We You are listed in both the phone book and phone line
Restricts access from your phone to numbers that begin Directory Assismnce(411).Address optional.
with the prefix 900 or 976.These prefixes are commonly
used by entertainment or informational services that can Directory Assistance Listing $0.14 No setup
carry considerable per-call or by-the-minute charges. Your number is not listed in the phone book,but charge
remains available from Directory Assistance(411).
Caller 10 Blocking rec
Blocks your name and number on outgoing calls so that Additional Directory Listing $0.81 $4.75 per
someone with Caller ID can not see your number. Additional people can be listed in both the additional
Can be activated or turned off by user. phone book and Directory Assistance(411) listing
under a single phone number.
Call Blocking-Full Restriction $ 2.00
Call Blocking-Full Restriction is an optional service which Foreign Directory Listing $ L e i S 4,75 per
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from a designated line.Except when dialing 911,this will book outside local area
block the following any direct-dialed call,including, local
or long distance, 0+or 0 and Directory Assistance all Line of Information $ 0.81 Pius a one-time
for local or long distance numbers. A line of information appears in White Pages charge of$4.75
indented under primary or additional listing.
Toll Restriction $ 2.00 Provides additional information about listing
Restricts all long distance calls being made from your home. when,how,or where to call.Provides additional
information to your callers,such as vanity numbers
Call Trace nia S 5.00 or additional address information such as room
Ability usTmce annoying or harassing all.Law enforcement and apartment,building name,or zip code.
will handle the harassing complaint
Non-Published Number $0.28 No setup
Hunting" $ 2.00 Your number is unavailable in the phone book charge
Hunting service is an optional arrangement available to or from Directory Assistance(411).
customers with two or more phone Iines.The lines are
arranged so that incoming calls to a bury line will OPERATOR SERVICES
overflow or ring at another of the customers available Call For Rate Quote-see chart
lines. Most have 2 or more lines for feature to work Billed in 60-second increments.
Customer Requested Number $ 5.00 DIRECTORY ASSISTANCE
Vanity Number-al Customer Care One-Time Call For Rate Quote-see chart
for requests. Charge Billed in 60-second increments.
II 12
PRODUCTS & PRICING PRODUCTS & PRICING
'TELEPHONE A LA CARTS Pft11r.!NG
CTAP PACKAGE - HEARING MONTHLY VOICEMAIL-BASIC SERVICE MONTHLY
IMPAIRED CHARGE CHARGE
Basic Phone 5 I0.00
Options: Voicemail Box S 9.00
Three-Way Calling Message Waiting Indicator(stutter tone) included
Speed Calling(30) Call Forward Busy/No Answer included
Speed Calling(8)
VOICEMAIL-ENHANCED SERVICE
(Extended Messages and Optional Menu Routing)
PACKAGE DISCOUNTS
Enhanced Voicemail Box $ 11.00
Feature Solution c 18,0( Extension Box $ 2.95
Options: Message Waiting Indicator(stutter tone) included
Speed Calling(30) Call Forward Busy/No Answer included
Three-Way Calling
Speed Call(8)
VOICEMAIL-SPECIAL OPTIONS
Message Solution 5 24.00 Paging or Cellular Phone Notification $ 4.95
Options: Maximum Messages(200 messages) $ 3.00
Speed Calling(30)
Three-Way Calling
Speed Calling(8) VOICEMAIL DETAILS
Basic 45 sec
Total Solution $ 30.00 Greeting Length 3 min.
Options: Message Length 45
Speed Calling(30) Max Number of Messages
Three-Way Calling Days Messages Are Kept
Speed Calling(8)
Enhanced Voicemail
Greeting Length 60 sec.
Message Length 3 min.
LILTS CALIFORNIA MONTHLY USAGE ONE-TIME Max Number of Messages 60
CHARGE FEE CHARGE Days Messages Are Kept 30
Basic Phone $ 5.34 ./a $9.50 Pager Notification Y
Measured Phone Line $ 2.85 $ 0.07 $9.5E Urgent Message Notification Y
Extended Absence Greeting(2nd greeting) Y
First 60 minutes free.fnstollotion of inside wire 50%Discount -option to receive messages or not Y
13 i 14