2. 2
Background on FirstNet
Created in 2012 by the Middle
Class Tax Relief and Job Creation Act
Independent authority authorized by
Congress—15 member Board
$7 Billion allocated to build nationwide mobile Broadband network dedicated to
Public Safety—must reinvest all revenues into the build and maintenance of network
Allocated 20MHZ of Band 14 Spectrum---prime realstate
Mandated to consult with states, territories, tribal nations
And federal agencies
3. 3
What are we doing?
FirstNet is our best opportunity to
bring broadband data to public
safety throughout the State
Why is ECN and the SECB in
support of FirstNet?
4. 4
Cost Per User
0
500
1000
1500
2000
2500
3000
3500
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35
We need enough users for
a sustainable service
Too few users, and the
individual cost is too high
After a certain break-even
point, additional user
revenues have less
mathematical significance
6. 6
What have we done so far?
• Education and Outreach
• Collect data about our Public
Safety Users
• Identify Public Safety Requirements
• Coverage Requirements
• Device Requirements
• Demonstrated a one-site band 14
broadband network deployment
8. 2016 2017
Draft State
Plan Finalized
2018
FirstNet
Issues RFP
FirstNet
RFP Due
FirstNet RFP
Awarded
Minnesota
continues to
consult with
FirstNet
States getfirst
peek at possible
solution. Provide
Feedback
Recommendation
Formulated from
Stakeholders to
State Leadership
Final State Plan
submitted to Opt-out
Governor Decision
' - - - - - - - '
Opt-in
FirstNet
Deployed
)
Constant Outreach, Education, Awareness, Consultation,and Strategy
Constant Engagement with FirstNet
10. 10
Overall Key Points
• The most important metric is subscriber adoption
– The vendor is penalized for not reaching adoption targets
– Many metrics and evaluation factors are tied to adoption
– This is a clever strategy: good service will get a lot of subscribers
• The vendor assumes nearly all aspects of the service
– The vendor handles implementation, operations, etc.
– The vendor also handles sales and marketing
– The vendor has the right to market itself as “FirstNet”,
including the right to use FirstNet’s trademarks
11. 11
IOC-3
• IOC-3, or “Initial Operating Capability Phase 3”
• 24 months from award is a key date
• Vendor is required to:
– Have over 50% of the proposed user base
– Have over 60% of the proposed Band 14 spectrum
– Provide mission-critical services including PTT
– Provide public safety priority services
12. 12
Summary
• FirstNet’s RFP is a massive, detailed and creative approach to providing
NPSBN service to the nation
• The vendor assumes most aspects of the NPSBN including managing the
service and all sales and marketing
• The coverage objective for Minnesota is 97%
• The RFP is almost entirely objectives-based
• Qualified vendors will likely have to be or be affiliated with a major carrier
• State plans and basic “FirstNet” service available after 6 months
• After year 2, the service is fairly mature and provides most of what it will
provide. Later phases are mostly filling in coverage.
• 15% of coverage shall “include partnerships with rural
telecommunications providers”
13. 13
Section M – Evaluation Factors
• Objectives-based procurement
– Few requirements, many objectives
• Evaluation Factors:
– Business Management
– Coverage and Capacity
– Products and Architecture
– Offeror’s Value Proposition Assessment
– Past Performance
14. 14
Coverage
• FN coverage objective is FN
baseline+state-submitted data
• Provides coverage for about 97% of the
state
• This is an objective, not a requirement
• Offerors will be evaluated state-by-state
based on how much of the FN coverage
objective they meet
Category % of State
FirstNet Baseline 67.38%
State Datasets 23.96%
Commercial/LMR Coverage 4.89%
Federal Input 0.67%
Temporary/Deployable 3.11%
16. 16
Disincentive Payments
• The vendor is penalized if it does not achieve its target
adoption rates
– Vendor pays full payment at less than 70% of target adoption
rates
• These payments increase over time, but average $2-$3M
per year for Minnesota
– Starting from year 6 (FOC) to year 25 (end of term)
• This is the main penalty engineered into the RFP to manage
the vendor over the life of the service
17. 17
FirstNet’s Example Rollout
• Phase 1-2
• Concentration in
Urban – Suburban
Areas early
• Some Rural
• Some COWs
• Phase 3-4
• Extend Suburban &
Rural Coverage
• Phase 5
• Extend Suburban &
Rural Coverage
• Add Satellite and more
COWs
• Expansion 1 & 2
• Add capacity to Urban
• Extend Suburban &
Rural Coverage
18. 18
Questions?
Jackie Mines, Director MN DPS-ECN
Jackie.mines@state.mn.us
(651) 201-7550
Melinda Miller, Program
Manager, Deputy SWIC
Melinda.miller@state.mn.us
(651) 201-7554
Editor's Notes
Created by the Middle Class Tax Relief and Job Creation Act of 2012 which was approved by Congress on Feb 17, 2012. It is an independent authority within NTIA to provide emergency responders with the first nationwide, high-speed, broadband network dedicated to public safety.
FirstNet will act similar to commercial carriers like Verizon or AT&T.
To build this network the act provides for:
20 MHZ of Dedicated Spectrum – in the 700 MHZ range.
LTE is the cellular phone standard that has been adopted for the project, which has been deployed by all commercial operators in the US. Adopting this standard will allow public safety to leverage commercial economies of scale.
Funding:
$2B available now
$5B after successful FCC spectrum auctions, some of which have already happened
RFP released for vendor evaluation on Jan 13, 2016. Vendors are being asked to submit any questions that may have about the RFP before Feb 12, 2016, The first phase of the proposal will be capability statements, this allows the government to advise the vendor if they are viable competitors. These are due on March 17, 2016.
FirstNet is projecting that they would announce a contract in the 4th quarter of 2016. The state would see a build out plan sometime in 2017.