HomeMy WebLinkAboutCAO-06-047 - Atria Networks Inc - Wireless Internet Services Agreementl
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Corporate Services
REPORT
Report To: Mayor C. Zehr and Members of Council
Date of Meeting : June 26, 2006
Submitted By: Carla Ladd, CAO
Prepared By: Mike Grummett, Director of Information Technology
Ward(s) Involved: All
Date of Report: June 22, 2006
Report No.: CAO-06-047
Subject: Atria Networks Inc. -Wireless Internet Services Agreement
RECOMMENDATION:
That the Mayor and Clerk be authorized to execute a User License Agreement with Atria
Networks Inc., satisfactory to the City Solicitor, for wireless internet service as described in
Report CAO-06-047 dated June 26t", 2006.
That the Mayor and Clerk be authorized to execute a Licensed Attachment Agreement with Atria
Networks Inc., satisfactory to the City Solicitor, for the purposes of affixing and maintaining
wireless devices to poles/light standards to support the wireless network.
EXECUTIVE SUMMARY:
Atria Network Inc., (formerly Fibertech Inc.,) a telecommunications company wholly owned by
the local hydro utilities, has embarked on the installation of a wireless internet service within the
Region of Waterloo. Using a phased implementation plan, Atria anticipates having the populated
urban areas of Kitchener, Cambridge and Waterloo wireless by the end of 2006. Atria is offering
each of the three (3) cities and the Region, the opportunity to purchase user licenses at a
preferred rate. The purpose of the agreements is to support Atria in its efforts to establish a
wireless network region wide and to allow Kitchener to test the service for possible applications
such as Building Inspection, By-law Enforcement and Mobile Road Crews to name a few.
Wireless devices will be affixed to street poles throughout the region creating a wireless
network.
REPORT:
Atria Networks Inc. is a telecommunications company formed in September 2005 as a result of
a merger of FibreTech (a joint venture of Waterloo North Hydro, Kitchener-Wilmot Hydro and
Cambridge and North Dumfries Hydro) and GuelphFibreWired, owned by Guelph Hydro. Atria
have undertaken the installation of a wireless network infrastructure in the Region and have
installed wireless radio devices at select locations in the Region, two being Your Kitchener
Market and City Hall. The first phase of development will focus on the cities of Kitchener,
Waterloo and Cambridge. A sufficient portion of the network is expected to be completed by the
end of this year, with the remainder of the network scheduled for completion in December of
2007 and will comprise designated areas within most of the township urban municipalities. The
Townships may choose to enter into a license agreement with Atria at that time.
Wireless internet service affords many opportunities to municipalities to streamline the delivery
of services. The City of Kitchener already has a number of mobile applications deployed in
areas such as building inspections, by-law enforcement, fire prevention, tree inventory, road
patrolling, etc. Wireless internet service such as this will allow these applications to be tested in
the field with real-time connections to the corporation's computer infrastructure and data.
To allow area municipalities the opportunity to test and assess the benefits of a wireless service
within their respective organizations, Atria has offered a municipal plan licensing arrangement
which includes:
• A preferred monthly rate of $25.00 per user. Atria's retail price is $30.00 per user.
• A pricing guarantee during the first year of a five year term with an option, once the
service has been established, to obtain additional licenses asset out below;
• An option to receive a $5.00 price discount per user in the event Kitchener decides to
purchase more than 100 licenses in the next five (5) years and, for more than 500
users, a $10.00 price discount per user from the $25.00 rate;
• A best efforts commitment to make wireless internet service available in the urban
areas of the four (4) townships within the Region as part of the overall
implementation of the wireless network; and
• A commitment to offer the municipalities the benefit of any rate decreases given to
other Atria customers over the next file (5) years.
Staff in each of the other municipalities within the Region will be recommending the
implementation of a similar licensing arrangement. The terms of the license agreement
stipulates that the City of Kitchener is under no obligation to purchase wireless service
exclusively from Atria, nor is Kitchener bound to pay for any minimum level of wireless service.
Accordingly, Kitchener will be able to test this service and once evaluated, determine whether to
purchase multiple wireless user licenses from Atria in accordance with the proposed agreement
or from another, as of yet unknown, provider of service should one emerge.
FINANCIAL IMPLICATIONS:
Kitchener will commence testing of the network as it expands and anticipates approximately
twenty-five accounts at a total cost of $625.00 per month. Monthly service fees will be funded
from the Computer Reserve Fund as the network is tested.
COMMUNICATIONS:
Atria Networks Inc. will market and provide advertising for this service together with the City of
Kitchener and area municipalities.
CONCLUSION:
Area municipality CAO's, Information Technology and Legal staff have participated in a working
group for the purpose of negotiating the terms of a wireless license agreement and jointly
support the recommendation.
Carla Ladd, CAO
Mike Grummett, Director
Information Technology