January 23, 2018 MARINETTE COUNTY BOARD OF SUPERVISORS. County Administrator John Lefebvre Corporation Counsel Gale R. Mattison

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1 January 23, 2018 January 23, 2018 MARINETTE COUNTY BOARD OF SUPERVISORS County Administrator John Lefebvre Corporation Counsel Gale R. Mattison 1. Gilbert Engel 11. Mark Anderson 21. Vilas Schroeder 2. Alfred J. Sauld 12. Ginger Deschane 22. Don R. Pazynski 3. Tricia Grebin 13. Robert Holley 23. Ken Keller 4. Cary L. Whiting 14. Josh Anderson 24. Don E. Phillips 5. Bill Stankevich 15. Glenn L. Broderick 25. Paul D. Gustafson 6. George Kloppenburg 16. David M. Zahn 26. Shirley A. Kaufman 7. Cheryl L. Wruk 17. Thomas E. Mandli 27. Ted J. Sauve 8. Joe Banaszak 18. Vacant 28. Thomas Mailand 9. Joe Policello 19. Fred H. Meintz 29. Rick Polzin 10. Penny Chaikowski 20. Michael J. Behnke 30. Allen L. Mans Meeting called to order by Chair Mark Anderson at 9:00 a.m. at the Marinette County Courthouse. Moment of silent prayer in remembrance of Supervisor Russ Bauer. Roll call taken by County Clerk Kathy Brandt. Quorum is present. Supervisors Deschaine, Kaufman, Mailand, Mandli, Mans, Sauld, Whiting, and Wruk excused. Pledge of allegiance and a moment of silent prayer held. Packerland Broadband to establish broadband service in portions of Marinette County as identified in the State Broadband Grant application at a cost not to exceed $60,000 in the event a State grant is awarded. Motion carried. Motion (Engel/Holley) to adjourn at 9:36 a.m. Motion carried. Next meeting scheduled for January 30, Motion (Zahn/Engel) to approve the agenda. Motion carried. Kathy Brandt, County Clerk Supervisor Behnke arrived at 9:15 a.m. FINANCE Motion (Schroeder/Polzin) to approve transfer of an amount not to exceed $60,000 in the event a State Grant is awarded, for the purpose of partnering with Packerland Broadband to establish broadband service in portions of the County with funding from either the 2018 contingency fund or from anticipated unused 2018 budgeted funds. Motion carried. Exhibit A Any exhibits/attachments mentioned above are available for public viewing and per the Marinette County copy policy upon request to the County Clerk. Date approved/corrected: ECONOMIC DEVELOPMENT Motion (Stankevich/Behnke) to approve partnering and entering into an agreement, subject to Corporation Counsel s approval, with 1

2 Exhibit A To whom this may concern, Packerland Broadband (PLBB) is an internet service provider in Marinette county. We are based in nearby Iron Mountain Michigan. In Marinette County, we serve commercial and residential customers with data, video and voice products in several communities, primarily along the USH 141 corridor. The State of Wisconsin, through the Wisconsin Public Service Commission, offers grants to enable broadband expansion throughout the state. A requirement of the grant is to exhibit a public/private partnership as an effort to foster creativity in expanding broadband access at a local level. It is our hope that together with Marinette County, that we can apply for this funding, which will bring new and affordable broadband access to over 4000 addresses within the county. These addresses are underserved or lack a competitive alternative for broadband access today. Our Mission: To provide reliable and affordable high-speed connectivity to rural areas; one connection at a time. Packerland has recently joined the NRTC (the National Rural Telephone Cooperative) whose mission is nearly identical. In conjunction, Packerland is also working with Microsoft s Airband team, in a partnership effort to utilize new wireless technologies to bridge the digital divide. Rural broadband is one of the top infrastructure issues nationally. This grant application will combine collaborative efforts in funding, resources, organization, and technologies, unlike anywhere else in the state, which will incubate future efforts to assist the region in broadband access. Broadband efforts will foster economic development, educational connectivity, and advancement in healthcare communications in several areas. (See attached map.) We are excited to potentially partner with Marinette County and use innovation and a creative spirit to start solving the riddle of rural broadband access. Respectfully, R. Cory Heigl Vice President and General Manager Packerland Broadband (906) Office (906) Mobile cory.heigl@plbb.net

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4 Marinette County Board Special Meeting 1/23/18 Scope Engineer and build a fixed wireless system in Marinette County to offer broadband connections to rural underserved areas. Project will ready the radios systems on 10 towers and provide connectivity to Packerland s core network for internet connectivity. Impact Impact approximately 4157 addresses o About 1063 of the 4157 addresses are within Broadband Forward Communities. o Approximately 50 businesses within proposed footprint Provide speeds up to FCC definition of 25 x 3 Mbps (download & upload speeds) Funding only covers readying tower locations (macro sites). Project Funding Notes Total Investment $ 421, Requested Grant Funding $ 210, % request of project funding Needed Funding $ 210, % investment by partnership Packerland Cash Match $ 110, Packerland initial investment Marinette County Cash Match $ 60, Appropriated funding Microsoft Corporation $ 40, Grant from Microsoft Corporation Partner Funding Needed $ (0.00) Total Grant Funding Available. $7,500, Percent of Program Funding Available 2.81% Homes Passed 4157 Cost per Home Passed $

5 Funding - Things to consider Marinette County Funding attributes to about $14.43 per address within the project footprint Microsoft Funding. Packerland is working on a formal partnership with Microsoft corporation to expand rural broadband. (See attached document). Our friends at Microsoft offered to provide some funding to support our efforts. If these efforts fall through, Packerland will cover the need. Packerland will invest an additional $350 per subscriber, to place technology at the home. With a 30% take rate that will equate to an additional $436,000 in investment. Project Timeline State FYE June 30th, 2018 State FYE June 30th, 2019 Project Components (X= Duration of Task) Q3 Q4 Q1 Q2 Q3 Q4 Execution of PSC Grant Agreement X Engineering and Design X X Permitting X X Access Network Construction X X X Tower Network Gear Deployment and Testing X X X Commercially Available Customers X X X X Price for Products Available Internet Packages Download Speed Upload Speed Approximate Retail Price MaxConnect 5 5 Mbps 1 Mbps $39.95 MaxConnect Mbps 1 Mbps $49.95 MaxConnect Mbps 2 Mbps $59.95 MaxConnect Mbps 3 Mbps $69.95 ***No Data Caps

6 Technologies This project focuses on the use of TV White Space as the technology to provide service. TVWS can be used for non-line-of-site (N-LOS) applications, which suits well for our forested areas throughout the region. Packerland is continuing to test other frequencies and equipment manufacturers for LOS applications that can travel farther and provide greater speeds. These can simply be added to the various tower locations, to provide more options where foliage or small hills are not an issue. Future Expansion A portion of the reason for the project is to incubate future deployments. Packerland will continue to invest throughout Marinette county and the region. Additional Projects Eau Claire County is taking lead on a similar application (rather than Packerland leading the application). Chippewa County is also a partner in the application. Between the 2 counties, they have committed nearly $1.3MM in funding to support needs of Public and Private sectors. Packerland

7 A Rural Broadband Strategy: Connecting Rural America to New Opportunities Today, 23.4 million Americans in rural communities lack broadband internet access. The time is right to set a clear and ambitious but achievable goal: to eliminate the rural broadband gap within the next five years. Microsoft believes the U.S. can bring broadband coverage to rural areas within this time frame, based on a strategic approach that combines private sector capital investments in new technologies and affordable public sector support. A New Approach: TV White Spaces New directional findings by The Boston Consulting Group suggest that a combination of technologies can substantially reduce the total cost of extending broadband coverage. Specifically, a technology model that uses a combination of the TV white spaces spectrum, fixed wireless, and satellite coverage can reduce the initial capital and operating costs by roughly 80 percent compared to the cost of using fiber cables alone; and by approximately 50 percent compared to the cost of current fixed wireless technology. Microsoft s Rural Airband Initiative At Microsoft, we are prepared to invest ourselves and serve as a catalyst for broader market adoption of this new model. We are committed to three elements on a five-year basis: 1. Direct projects with partners: Microsoft will invest in partnerships with telecommunications companies with the goal of bringing broadband connectivity to two million people in rural America by July 4, We and our partners will have 12 projects up and running in 12 states in the next 12 months. Our goal is not to enter the telecommunications business ourselves or even to profit directly from these projects. We will invest in the upfront capital projects needed to expand broadband coverage, seek a revenue share from operators to recoup our investment, and then use these revenue proceeds to invest in additional projects to expand coverage further. 2. Digital skills training for people of all ages: Working through Microsoft Philanthropies, our Rural Airband Initiative will invest in helping to train people of all ages in these rural communities on the latest technology so they can use this new connectivity to improve education, healthcare, agriculture, and transform their businesses. Our first partnership under the Rural Airband Initiative will be a multi-year partnership with National 4-H Council engaging America s largest youth development organization, 4-H, to provide digital literacy skills training to youth, as well as teen-led learning programs in rural communities. 3. Stimulating investment by others through technology licensing: Our ultimate goal is to help serve as a catalyst for market investments by others in order to reach additional rural communities. We therefore are launching a new technology program to stimulate investment through royalty-free access to at least 39 patents and sample source code related to technology we ve developed to better enable broadband connectivity through the use of TV white spaces spectrum in rural areas. A Vital Role for the Public Sector While we believe the private sector can play the leading role in closing the rural broadband gap, the public sector also has a vital role to play. In particular, three related governmental measures are needed: 1. Use of Spectrum: The FCC needs to ensure the continued use of the spectrum needed for this mixed technology model. Specifically, it will be important for the FCC to ensure that at least three channels below 700 MHz the so-called TV white spaces are available for wireless use on an unlicensed basis in every market in the country, with additional TV white spaces available in smaller markets and rural areas. 2. Infrastructure Investments: In addition, federal and state infrastructure investments should include targeted funds on a matching basis for the capital investments that will best expand coverage into rural areas that currently lack broadband access today. These funds should be made available for use by multiple technologies on the basis of the most costeffective available, including TV White Spaces, fixed wireless, and satellite usage. 3. Data Collection: Finally, there is a need for improved data collection about rural broadband coverage. The FCC can help by accelerating its work to collect and report publicly on the state of broadband coverage in rural counties, thereby aiding policy makers and the private sector in making targeted investments.

8 Rural America: On the Wrong Side of the Digital Divide In urban America, we have thankfully become accustomed to ongoing capital investments to expand broadband capacity in areas that already have broadband coverage. But the time has come to expand this coverage to the rural areas that lack it entirely. As a country, we should not settle for an outcome that leaves behind over 23 million people living in rural America. To the contrary, we can and should bring the benefits of broadband coverage to every corner of the nation. The Rural Broadband Gap While the majority of Americans take broadband for granted, 23.4 million people living in rural areas of our nation lack an adequate internet connection, which means they are unable to take advantage of the economic and educational opportunities enjoyed by their urban neighbors. Real progress to close the rural broadband gap has plateaued in recent years. High costs, the absence of new and alternative technologies, and market and regulatory conditions have all hampered efforts to expand coverage. This is now changing, thanks to recent advancements in technology, newly adopted standards, business model innovations and a growing demand for a broad range of cloud services. The Benefits of Broadband and Cloud Computing Advancements in technology are rapidly transforming how we work, communicate, access information and educate our children. Powered by cloud computing, these new capabilities are driving economic growth and innovations that weren t possible a decade ago. Whether it is connecting small businesses to new markets, improving healthcare, creating new opportunities in education or supporting innovation in agriculture, cloud computing brings real social and economic opportunity. But today, millions living in rural communities across America lack the critical connection to the wealth of opportunities that the cloud presents: a broadband internet connection. The Right Technology in the Right Places TV white spaces is expected to provide the best approach to reach approximately 80 percent of the underserved rural population, particularly in areas with a population density between two and 200 people per square mile. Satellite coverage is expected to be the most cost-effective solution for most areas with a population density of less than two people per square mile, and fixed wireless for most areas with a density greater than 200 people per square mile This mixed model for expanding broadband coverage will likely bring the total national cost of closing the rural broadband gap to roughly $10 billion.