HomeMy WebLinkAbout2005/05/23 - ADMIN - Minutes - City Council - Regular iiiY OFFICIAL MINUTES
SAOU°/FSCITY COUNCIL SPECIAL MEETING
RK ST. LOUIS PARK, MINNESOTA
MAY 23, 2005
1. Call to Order
Mayor Jacobs called the meeting to order at 6:33 pm.
Council members present: Mayor Jeff Jacobs, John Basill, Paul Omodt, Susan Sanger, Sue
Santa, and Sally Velick
Councilmember Finkelstein was absent.
Staff present: City Manager(Mr. Harmening), Director of Technology and Support Services
(Mr. Pires) and Recording Secretary (Ms. Stegora-Peterson).
2. Action Item - Wireless Study Consultant
Mr Pires reported three firms were interviewed and Virchow Krause had the best understanding
of what they wanted and statement of what they would do. He discussed their background. He
was confident they could complete the work on time and within budget.
Mayor Jacobs asked if they had worked with a partnership model? Mr. Pires replied yes,
Moorehead Public Services.
Councilmember Sanger asked what they could expect to receive and when9 Mr. Pires replied
they would have a meeting to provide background materials, informal survey information,
information on wireless assets and they may also do a survey and use that information for market
research including who would buy the service at various price points. They were looking at $16-
24/month range at different rates of speed.
Councilmember Omodt asked if they would do an analysis for future technology? Mr Pires
replied yes, there would be either a full or partial exit strategy.
Mayor Jacobs asked how easy it would be to upgrade the technology? Mr. Pires replied they
needed to be prepared for new technology and take advantage of it. They were giving
themselves options, for an exit strategy or if they decided to stay in this.
Councilmember Sanger asked if they were looking into legal issues and what the timeline was?
Mr Pires replied yes. The timeline was three months, with a completion date of August 22.
They wanted to ensure this was not interrupted by legislative action.
Councilmember Sanger asked if this allowed time before the potential legislation? Mr Pires
responded there was no guarantee, but if they had made more of a commitment, they were more
likely to be grandfathered. They were also looking at a charter amendment regarding
telecommunications services and provide more clarity.
Councilmember Basill stated he was opposed because he believed it should be a partnership and
that the partner do they study. The risk of legislative action concerned him.
Special Council Meeting Minutes -2- May 23, 2005
Councilmember Sanger asked if they went forward with a partner, could they try to recoup
exploration costs from the partner?
Councilmember Santa believed that the partnership didn't have to be 50/50, it could be 60/40 or
based on what each party brought to the partnership. Mr Pires added they wanted to be open to
all alternatives and vendors. Nothing precluded them from recouping some of the costs.
Mr. Harmening indicated at this point they were doing research and development. The
consultant could suggest they don't do this. If they didn't think this was a good idea, now would
be the time to say so.
Councilmember Velick asked after the consultant completed work, would there be additional
funding required or would a partner come in with funding? Mr. Pires replied it could be anything.
Councilmember Sanger asked if there had been discussion about setting up a non-profit
corporation to run this? Mr. Pires replied that was one alternative. Mayor Jacobs expressed an
interest at looking into that further.
Councilmember Sanger believed there might be a good end result and they could recoup funds
through franchise fees.
Mayor Jacobs believed the only way this made sense was as a partnership. He shared
Councilmember Basill's concerns, but supported this.
Mr. Pires stated what was key to the analysis was that the city owned a number of assets (land,
water towers and fiber networks).
Mayor Jacobs wanted to be able to recoup that. If another entity wanted to partner with the City to
do this, he wanted to be sure there was sharing of the up front costs.
Councilmember Sanger asked if the School Board would go in on the costs? Mr. Harmening
indicated there had been no formal commitment. They were potentially looking forward to the
benefits of it. The City would expect reimbursement from the School for any contnbutions that
the City made.
It was moved by Councilmember Santa, seconded by Councilmember Sanger to authorize
execution of a contract with Virchow, Krause & Company, LLP in the amount of$58,750 for
completion of a study of the technical, market, and financial feasibility and options to ensure
access to competitively priced wireless high speed Internet service
The motion passed 5-1, with Councilmember Basill opposed.
3. Adjournment
The meeting adjourned at 6:55 p.m.
5 ,— --ijs. /4—eLki' I ktai
City Clerk M yor