EFTA02707545.pdf

From: Richard Kah Sent: Monday, March 3, 2014 10:37 PM To: Jeffrey Epstein Cc: Cecile deJongh; Jeanne Brennan Subject: ISP / LSJE Wifi & Tower Attachments: Terrence Quote.pdf; Untitled attachment 00068.htm; viNGN Community Anchor Institution List 10-30-13.xlsx; Untitled attachment 00071.htm ISP In order =o become an ISP our entity must complete the =ollowing: 1) Register with It Governors office =ia application (VINGN initial connection fee of 500) 2) =egister our Dragon wave and Red Line (ISP Equipment) with =CC Dragon wave 1,500 Red Line =,200 x 2 = 2,400 Total FCC Cost = =,900 3) Provide VINGN with the following =nformation about our entity a) articles of =rganization b) certificate of good standing c) =ertificate of =ncumbency Monthly ISP =perating Costs VINGN 25 Meg Min Monthly =urchase at cost of $40 per meg = 1,000 per mo (must =ommit to a 2 or 5 year contract term) VINGN Dual attached =onnectivity rate = 200 per month VINGN Transport =ggregation = 100 per month VINGN Co-lo Package =External) = 800 per month SBA Tower Rental on STT =nbsp;= 400 per month Total Monthly =osts = 2,500 Total Annual Cost = =0,000 Cost per Meg = 100 per =onth (Terrence believes that if we buy more 50 =eg or more we will have ability to negotiate above =igures) 30,000 annual cost will provide 25 Meg =f internet for STC and LSJE. We would have to decide on how much =o provide each property with. Our current bandwidth and costs =re as follows: LSJE via Choice 15 Meg @ 2,625 =er month = 31,500 annual cost (175 cost per meg per =onth) STC via TM Telecom 4.5 Meg @ 2,139.60 per month ==25,648.56 annual cost (475 cost per meg per =onth) Total annual cost 57,148.56 vs 30,000 =s ISP = 27,148.56 annual =avings 15JE =IFI / Tower location of 10 x 10 concrete =ad as been marked by Danny and Terrence by =erm EFTA_R1_02105889 EFTA02707545 Tower: a) Weather Rating - 220 =ph winds b) Corrosion not an issue since tower will be =ust galvanized in hot dip for caribbean c) Tapper top with =ightening rod and beacon light d) Must be painted orange and =hite every 10' (painting will be approximately 1 foot in =idth) =-> mandatory to paint on all towers greater than =0' e) Drag wave will be mounted at 30' 0 Bridges =nd repeaters mounted at 40' g) High power AP's mounted at =7' Attached bid of 263,598.45 =equires a 50% deposit then 25% upon receipt of equipment and job =eginning and final 25% upon completion of =ob Bid is broken down as =ollows: Materials =nbsp; 227,972 Labor =nbsp; =/span> 28,500 Shipping & Ground =rans =/span>7,126 Terrence states that all equipment =s at cost with exception of AP's / Bridges and Repeaters. He =arks up these items to cover warranty costs. Our Cost of =hese items with 20% markup = 91,296 Terrence Cost = =6,080 Profit = =5,216 Negotiated Price = =57,000 It has been very tough to verify =is costs. Please advise if i should ask him for vendor to verify =osts or if not done through STC then we purchase materials directly =rom vendor Terrence offers a Limited =arranty on equipment of 1year and 3 months on his labor. He =ecommends a Maintenance Contract for both the Wifi Equipment and =inks (Dragon wave & Red Lines) Anything =hat is wrong with equipment or labor will be replaced at no cost to =s Each mtc contract includes at least 2 days per month to =ook after equipment and do preventative =aintenance Maintenance contract not signed up =t time of contract = 1,500 per contract x 2 x 12 months = =6,000 per annum Maintenance contract at time of contract = =,200 per contract x 2 x 12 months = 28,800 per =nnum I was able to negotiate his maintenance contract to =50 per contract x 2 x 12 months = 20,400 per =nnum Timing - 9 weeks start to =inish for ISP and WIFI / 3 weeks for equipment lead time = 12 weeks ==May 26th -> Terrence believes that =ithout unforeseen issues job should be -> completed by May =5th =div> ISP as =usiness VINGN currently has 12 HOPS spread =cross STT and 22 HOPS across St Croix Terrence estimates cost =f 150,000 per 12 hops for WIFI = 1,800,000 plus additional 200,000 =or core equipment Total cost to blanket all of STT = =,000,000 If equipment for all HOPS were =urchased at once he would be able to receive a 30% discount which =mounts to approximately 540,000 2 EFTA_R1_02105890 EFTA02707546 Core equipment =ncludes the following: Cisco Router 7606, 24 Port Cisco =witch with 4 sfp ports, apc backup and inverter, 3 servers (DNS, Mail =amp; AAA) & main will controller with enterprise =oftware Will need an office space to =tore main junction equipment (generators, backup batteries, cisco =witches and air conditioning) Preferable size of indoor =pace 10' x 12' or 15' x 15' Hop =quipment and estimated costs are as follows: 5,275 =nbsp;Cabinet 10,000 30 ft tower with braces and =rounding / side arms and mounting wings for radio =inks 3,500 switch 15,000 section =ontroller 30,000 high power AP's with sector =ntennas 39,200 Dragon Wave link 3,490 APC inverter = backup 2,295 Deep cell backup batteries 8,000 12k =enerator with transfer switch 5,743 PIMP section controller =may need 2 at some locations) - used for business customer who needs =LA and 5 or more Megs of service 3,183 CPE for those =ustomers Terrence projects 6,000 and 2 weeks =o install each hop which includes labor, cables, brackets, anchors, =crews, junction boxes and misc Each HOP require a concrete =ad (1' x 6') Follow up 1) Map =ut 316 Community Anchor Institutions (CAI) (see attached Excel file) to =ee if there are specific areas to initially target 2) =tatistics on CAI current internet usage and costs (may have to be =elephone solicitation) 3) Blanket Red Hook as market =est 4) Insurance requirements for our =ntity Per Terrence there are currently 10 =SP's on SIT: 6 new signed up via VINGN in addition to the =xisting 4 (choice, innovative, broadband vi & smart =et) Current customers of =errence: 1) Ritz Carlton 2) Sugar =ay 3) Frenchman Cove 4) Westin 5) Banco =oplar 6) Scotia Bank 7) Botany =ay Terrence is very honest and =traightforward. His is a Manager at Guardian Insurance and is =ery weak back office is supported by his =ister. Richard Kahn HBRK Associates =nc. 575 Lexington Avenue, =th Floor, New York, New York 10022 te 3 EFTA_R1_02105891 EFTA02707547 fax cell = 4 EFTA_R1_02105892 EFTA02707548