2023 04 18 City Council agenda packet

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FINANCE DEPARTMENT

MEMORANDUM

TO: City Council

FROM: Mike Keith, Interim City Manager/Finance Director
DATE: April 12, 2023

SUBJECT: Revised Memo for AUB Broadband

At the Study Session on April 10, the Mayor presented additional information about the funding
for this project. Eric Newberry said that AUB was willing to do $15,000 toward the project if the
City will do $15,000. | have included the wording from my original email about this project below.
My recommendation is still the same as in my original memo.

| have attached a copy of the information provided from AUB in February. They are requesting
$30,000 for this project. | spoke with John Gentry about the source of funding that they are using
for their portion of the project. They are using the original ARPA funding received in 2021 and
2022. We also received similar funding in 2021 and 2022 and this money was allocated toward
the Animal Shelter, the public works facility and the fire training tower since our project costs
were so much higher than budgeted. We received approximately $4,200,000 in ARPA funding
and these funds have been spent; therefore, the only funding source we have available would be
our capital projects money.

| do not recommend appropriating funds for this. | believe it sets a precedent for future requests
to be made and this will only benefit 24 residences. There may be some future ARPA funds that

are allocated for broadband but | do not believe that they would be available in time to allocate
for this project to be done currently.

Thank you for your consideration of this item and please let me know if you have any questions.

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