AGENDA MEMORANDUM

 

Meeting Date:           October 11, 2010

 

From:                          Jim Lemberg, Manager – Communications Utility

 

Subject:                      Resolution authorizing a Customer Order with Level 3 Communications LLC for additional upstream Internet bandwidth.

 

 

Staff Recommendation:

Staff recommends approval of a resolution authorizing a Customer Order with Level 3 Communications, LLC for an additional 200 Megabits per second of upstream Internet bandwidth.

 

Analysis:

The Communications Utility will soon notify its existing Internet customers of significantly reduced prices.  Each customer will be given the option of: 1) changing bandwidth consumption and possibly changing their monthly recurring charge; or, 2) keeping the same bandwidth level and reducing their monthly recurring charge.  In recent years, the Utility’s Internet customers were given a similar choice and most chose increased bandwidth.  Staff anticipates most of the existing customers to make the same choice:  increased bandwidth.  If that occurs, the Utility will require most of its existing bandwidth to fulfill those requirements.

 

Staff has two wholesale Internet bandwidth customers in the pipeline very near to contract signature, each of whom is asking for 100 Megabits per second of bandwidth.

 

Options:

1.  Approve the resolution, or

2.  Such alternative action as the Commission may deem appropriate

 

Fiscal Impact

      Incremental monthly revenue from two contemplated wholesale customers..........    $4,400

      Incremental monthly cost for additional Internet bandwidth.................................. < $2,731 >

      Net increased monthly cashflow.............................................................................    $1,669

 

Submission Date and Time:    10/8/2010 5:19 PM____

Department: ______________________

Prepared by:  ______________________                      

Attachments:         Yes____   No ______

Advertised:   ____Not Required ______                     

Dates:   __________________________                     

Attorney Review :       Yes___  No ____

                                                 

_________________________________           

Revised 6/10/04

 

Reviewed by: Dept. Head ________

 

Finance  Dept. __________________                                     

                              

Deputy C.M. ___________________                                                                         

Submitted by:

City Manager ___________________

 

Account No. _________________

 

Project No. ___________________

 

WF No. ______________________

 

Budget  ______________________

 

Available _____________________


 

RESOLUTION NO._______________

 

A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA, AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE A CUSTOMER ORDER FOR INTERNET BANDWIDTH WITH LEVEL 3 COMMUNICATIONS, LLC.; AND PROVIDING AN EFFECTIVE DATE.

 

 

 

BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA:

 

            THAT the Mayor and City Clerk are hereby authorized to execute an agreement  with LEVEL 3 COMMUNICATIONS, LLC,  whose address is 1025 ELDORADO BLVD., BROOMFIELD, CO  80021 for an additional 200 Mbps of upstream Internet bandwidth.

 

             THAT this resolution shall become effective immediately.

 

PASSED AND ADOPTED by the City Commission of the City of Leesburg, Florida, at a regular meeting held the _11th ____ day of _October________ 2010.

 

 

 

                                                                            __________________________________

                                                                             Mayor

 

ATTEST:

 

 

______________________________________

City Clerk