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U d ate o n Revi ew of
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Joint Powers Agreement
Ke Po i nts
v
• SWCTC plays an integral role in delivering
important information to our residents .
• The latest revisions to the joi nt powers
agreement were made 20 years ago and it's
ti me to ta ke a nother look at it.
Ke Po i nts
v
• The four primary member cities are working
cooperatively to u pdate the agreement a nd
perform any analysis to ensure the consortium
meets the present a nd futu re needs a nd
expectations of its mem bersh i p .
• Any changes to financial distributions for the
cities wou Id be effective begi n n i ng i n 2017 .
6 kr n
ac g ou
• E nt ity s i n ce 1981
• Two modifications to the original Joint and
Cooperative Agreement have occurred — in
1985 a n d 1995
• Each city appoints two Directors and one
Alte rn ate
• Equal voting
Mem er Cities
• Cotta ge G rove
• Newport
• St. Paul Park
• Wood b u ry
• G rey Cloud Isla nd Townsh i p
PA R vi w - Wh N w�
J e e o .
v
• Twenty years since last JPA update
• The telecommunications field is changing fast —
are we set up well for the present and future?
• Population changes with CG and Woodbury
• With the new franchise (CenturyLink) and
Comcast extension, the fact that SWCTC can bind
the cities on these important matters without
seeking municipal consent was highlighted .
• Near retirement of long-serving executive
director
2014 Contri utions
• Woodbury = 62% ($996,461)
• Cottage Grove = 30% ($482,746)
• St. Paul Park = 4% ($69, 654)
• Newport = 3% ($47,329)
• Grey Cloud Island Township = . 2% ($3, 754)
• Total Revenues = $ 1 . 6 million
• Total Unrestricted Reserves = $2,267,572
Reve n u e So u rces
• Comcast remits 5 percent of its annual
revenue from local subscribers for the use of
cities' pu bl ic rights-of-way needed to bu ry
cable lines .
• The SWCTC a Iso col lects a sepa rate $ 1 per
month Public Education and Government
( PEG) subscriber fee to help fund SWCTC
equipment, upgrades, maintenance,
marketing, etc.
Thir - Pr Rviw
at e e
v
1 . Provide comparison data to other similar multi-
municipal telecommunication commissions.
2 . Develop a formula to monetize the services of
SWCTC.
3 . Evaluate reasonable return of services and value to
each city for their contribution and the equity of
sha res a mong cities.
4. Evaluate current structure of the SWCTC in terms of
financial equity and voting structure, and identify
any best practices from other commissions that
cou Id benef it the SWCTC.
Thir - Pr Rviw
at e e
v
5. Evaluateamountof reservefunds — and recommend
appropriate balance for an operation of this size and
nature.
6. Examine the potential (with pro's and con's) of a type
of inember cafeteria plan for programming (and
attendant costs) against funds received .
7. Evaluate the ratio of equipment cost / value to what
is received in PEG fees.
8. Identify best practices in the use of the fees and
services, and if they are being utilized as intended in
the JPA.
J PA Consi erations
1 . Weighted voting
2 . Adding municipal consent option
3 . Executive committee representation
4. U pdate J PA with cu rrent practices
5 . Reg u I a r rev i ews of J PA
6 . Cable revenue paid directly to cities