Broadband Master Plan &
Digital Infrastructure Design
City of Lathrop
Agenda
• Background & Goals
• Scope of Work
• Asset Assessment
• Market Analysis
• Need Indicators
• Conceptual Network Design
• Construction Costs Estimate
• Financial Analysis
• 7 Key Recommendations
9/9/2024
2 City of Lathrop, CA
Background
• In December 2022, the City of Lathrop applied for the Local Agency Technical Assistance (LATA) program Grant from the CPUC. • On July 7, 2023, the City was awarded the full requested amount of $497,915.
• The City entered into a contract with Entrust, signed by the City Manager on July 31, 2023, and ratified by the City Council on August 14, 2023 with the acceptance of the Grant. Entrust was engaged to assist staff in developing a Broadband Master Plan and Digital Infrastructure Design, positioning the City to apply for the Last Mile Grant Funding, which had a deadline of September 29, 2023.
• On September 28, 2023, the City submitted an application to the California Public Utilities Commission (CPUC) for $11,704,239 for Phase 1. 9/9/2024 City of Lathrop, CA
3 Goals
• Targeting improved City connectivity for delivery of public services
• Expanding existing City fiber & conduit
• Promote economic development
• Enhance community access & affordability
• Increase internet provider competition
9/9/2024 City of Lathrop, CA
4 Scope of Work
9/9/2024 City of Lathrop, CA
5 • Asset Inventory
• 39.9 miles of conduit
• 13.9 miles of fiber
• Market Assessment
• Needs Assessment
• Survey
• Stakeholder focus groups
• Digital resource tool
• Gap Analysis
• Conceptual Network Design
• Phased Implementation Plan
• Business Model Evaluation
• Partner RFP Development &
Evaluation
• Partner Terms & Negotiations
• Network Design Engineering
• 147,128 feet of city-wide fiber
• 30% High Level Design (HLD)
• 60% Low Level Design (LLD)
• 90% Final Design & Bid Package
• Bill of Materials (BOM)
• Public Engineer (PE) Stamps
• Permitting
Market Analysis
9/9/2024
6 ISP Network
Max
Download
Speed
Max
Upload
Speed
Promotional
Term
Promotional
Monthly Rate
Comcast /
Xfinity Cable
75 Mbps 10 Mbps 1 year $ 20
200 Mbps 10 Mbps 1 year $ 30
400 Mbps 25 Mbps 2 years $ 50
800 Mbps 25 Mbps 2 years $ 60
1 Gbps 35 Mbps 2 years $ 60
1.2 Gbps 35 Mbps 2 years $ 70
2 Gbps 35 Mbps 2 years $ 120
AT&T
DSL 758 Kbps –
75 Mbps
500 Kbps - 5
Mbps 1 year $ 55
Fiber*
300 Mbps 300 Mbps 2 years $ 35
500 Mbps 500 Mbps 2 years $ 45
1 Gbps 1 Gbps 2 years $ 80
2 Gbps 2 Gbps 2 years $ 150
5 Gbps 5 Gbps 2 years $ 250
Frontier DSL 758 Kpbs –
75 Mbps
500 Kpbs - 5
Mbps 1 year $ 65
Verizon Wireless 50 Mbps
5 Mbps None $ 25
300 Mbps50 Mbps None$ 60
T-Mobile Wireless 182 Mbps 35 Mbps None $ 50
* - Fiber
services only
available on
west side of
Interstate 5
Need Indicators
Census Data
• % of Households No
Internet access higher
than national average
• East of I-5 between
Lathrop Rd & Louise
Ave
• Areas correspond to
HUD low- to moderateincome census blocks
9/9/2024 City of Lathrop, CA
7 Community Survey
* - Businesses pay average of
$265/month, or $3.57 per MB
Conceptual Network Design
9/9/2024 City of Lathrop, CA
8 Phase 1 – City Sites & Grant Priorities
• 24.7 miles
• 12 Tier 1 City Sites
• 700+ grant-eligible CPUC “unserved” locations
• 2,040 resident & business passings
Phase 2 – Core Public Facilities
• 7.4 miles
• 63 City/public facilities
• 547 passings
Phase 3 – Community Anchors
• 7.5 miles
• 54 public sites & institutional anchors
• 1,076 passings
Construction Cost Estimates
9/9/2024 City of Lathrop, CA
9 Length
(LF) $/LF Estimated Cost
Phase 1
New Fiber in Existing Conduit 31,502 $ 30 $ 945,072
New Underground Backbone 49,267 $ 125 $ 6,158,345
New Aerial Backbone 54,967 $ 60 $ 3,298,048
Service Drops/Laterals 5,148 $ 80 $ 411,840
PHASE 1 TOTAL 140,885 $ 10,813,304
Phase 2
New Fiber in Existing Conduit 4,615 $ 30 $ 138,450
New Underground Backbone 34,270 $ 125 $ 4,283,739
Service Drops/Laterals 13,052 $ 80 $ 1,044,140
PHASE 2 TOTAL 51,937 $ 5,466,329
Phase 3
New Fiber in Existing Conduit 3,802 $ 30 $ 114,060
New Underground Backbone 35,944 $ 125 $ 4,493,045
Service Drops/Laterals 16,188 $ 80 $ 1,295,035
PHASE 3 TOTAL 55,934 $ 5,902,140
TOTAL - ALL PHASES 248,756 $ 22,181,773
Financial Analysis
• Commercializing the City’s network will require significant additional funds
• Start-up capital (CAPEX) separate from network backbone construction • Operational expenses (OPEX)
• ISP partner can leverage economy of scale and existing staff to reduce OPEX
• Existing Network + Phases 1-3
• 3,406 residential passings
• 257 business passings
• Assume standard 30% take rate
• Start-up CAPEX: $3.1 M
• Annual OPEX: $2.2 M
9/9/2024 City of Lathrop, CA
10 7 Key Recommendations
1) Expand the City fiber network to improve public services connectivity and expand community broadband access.
2) Solicit & negotiate a public-private partnership that creates an economy of scale in Lathrop.
3) Geo-code the City’s existing fiber and conduit network to fully utilize, monetize, and leverage City assets.
4) Formalize existing City processes to maximize CIP and utility coordination and memorialize dedication of new public
assets in developer agreements.
9/9/2024 City of Lathrop, CA
11 7 Key Recommendations
5) Bridge the Digital Divide between the old and new Lathrop by centralizing digital resources.
6) Pursue state and federal broadband grants to address atneed areas of the City. 7) Leverage the City’s inventory of street light poles to expand wireless coverage, speeds, and service.
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