Fiber to the Home Sallisaw Municipal Authority Sallisaw, Oklahoma

1. www.diamondnetok.com Fiber to the Home Sallisaw Municipal Authority Sallisaw, Oklahoma Developing RFP’s and Bid Documents Sallisaw Municipal Authority APPA Broadband Conference

2. ASPECTS OF A TELECOMMUNICATIONS SYSTEM • Construction Materials Electronics • Channel Lineup Video Guides Network Systems/Equip • Internet Backbone Web sites Network Software • Billing Software Digital Set Tops Set top control (DAC) • Fiber Mgmt Headend Design Headend Equipment • Satellite Dish Off Air tower/antennas IP Addressing • Email software Fees and Taxes Advertising & Logo • Pricing & Packaging Phone Partner Contracts/Agreements • Commercial Sales Customer Service Work Order Process • Programmer Negotiations Operational Procedures • Pay Per View Programming After Hours Support • Phone packages & Pricing • Make Ready Construction (electric lines) • Customer Installations and Scheduling • Video on Demand Equip and Content Sallisaw Municipal Authority APPA Broadband Conference

3. OBJECTIVES IN RFP AND BID PROCESS • Opportunity to learn very detailed pros and cons of a FTTH system • What will each vendor bring to the table? • Leverage competition for improved pricing • Select what best fits your project • Compliance with state law Sallisaw Municipal Authority APPA Broadband Conference

4. Prior to issuing RFP and bid documents • Do your homework • Have an understanding of the responses you will be receiving. • Learn the terminology • Consultants, use them if you have them under contract • Choose knowledgeable consultants • Can assist in preparation of documents • Can assist in reviewing responses • Can assist in scoring • Can point out pluses and deficiencies Sallisaw Municipal Authority APPA Broadband Conference

5. RFP’s and Bid Documents Issued (Major/Sallisaw) • Consultant (Feasibility and Implementation) • Fiber Optic Transport Equipment (Electronics) • Engineering / design of outside plant • Headend Building • Outside plant construction • Headend Equipment with Satellite Dish and Tower • Included Headend design • Video on Demand equipment • Billing system Sallisaw Municipal Authority APPA Broadband Conference

6. RFP AND BID SEQUENCE IS IMPORTANT • Plan issuance of RFP and bid documents • Outside plant and Headend construction can take place simultaneously. Other decisions such as channel lineup, guide selection, pricing, etc…can take place during construction • Round 1: Consulting Partner/Feasibility • Round 2: Transport Equipment (e.g Wave7) Sallisaw Municipal Authority APPA Broadband Conference

7. RFP AND BID SEQUENCE IS IMPORTANT • Round 3: Design and/or Build outside plant, Billing System or Middleware • Outside plant design and construction: Identify Headend location • Round 4: Integrated Headend System design and build, Data Systems, VOD, other systems needed Sallisaw Municipal Authority APPA Broadband Conference

8. RFP and Bid Document Components • Functionality/Performance Requirements • Customers and References • Management Team Resumes/bios • Company Financials • Performance Bond (optional) • Terms of Agreement • Training and Support • Warranty • Cost • Notice of Intent to Bid (Sallisaw) Sallisaw Municipal Authority APPA Broadband Conference

9. Provide information related to your project • Tell potential respondents about your community • What services will you offer • Provide maps of community • Note any specific requirements you will require • Provide specific numbers related to project • Number of premises to pass • Approximate miles of plant • Estimated penetration rates • Once issued, be prepared to answer questions Sallisaw Municipal Authority APPA Broadband Conference

10. What Sallisaw looked for in responses • Prior success in FTTH projects • References • Sound company financially • Response geared/customized for Sallisaw, no standardized responses • How was response bound? • Did they meet the guidelines of request? • Willingness to participate in project Sallisaw Municipal Authority APPA Broadband Conference

11. RFP and Bid Document Rating Scale • 4 = Full Compliance/Exceeds Industry Standard • 3 = Full Compliance/Meets Industry Standard • 2 = Partial Compliance/Below Industry Standard • 1 = Requires 3rd Party • 0 = Not in Compliance/No Response • Staff and consultants rated responses Sallisaw Municipal Authority APPA Broadband Conference

12. EVALUATOR SCORING RESPONSES (Partial Example) A score below 3 for this requirement will result in vendor disqualification Sallisaw Municipal Authority APPA Broadband Conference

13. WEIGHTING SCORES AND RANKING (Example) Sallisaw Municipal Authority APPA Broadband Conference

14. Partner Selection vs. RFP • Not every decision should be RFP driven • Operating partners should be selected via negotiation • Rationale: ‘relationship’ versus product requires more specific knowledge of the firm Itself • Examples: • Voice Provider Selection (CLEC) • Support Desk Partner • Local Installation Contractor Sallisaw Municipal Authority APPA Broadband Conference

15. WHO WE SELECTED • Consultant: Uptown Services (feasibility and implementation) • Transport Equipment: Wave7 Optics • Design and Construction: Atlantic Engineering • Headend Design and Build: Peregrine Communications • Headend Equipment and Settops: Motorola Sallisaw Municipal Authority APPA Broadband Conference

16. WHO WE SELECTED • Headend Building: Sallisaw Lumber Company • Billing System: Great Lakes Data Systems • Video on Demand Equipment: SeaChange International • Telephone partner: Newroads Telecom (Ft. Smith, AR) • Help desk support: Coldwater, MI Utilities Sallisaw Municipal Authority APPA Broadband Conference

17. SUMMARY • Lots of questions to answer • Lots of materials to review in responses • You will have lots of questions once responses are reviewed • Bring in vendors for presentations • Sallisaw required on site presentations within certain time period (if requested by Sallisaw) Sallisaw Municipal Authority APPA Broadband Conference

18. Sallisaw Municipal Authority APPA Broadband Conference