Download IT Executive Committee - New Connectivity Model

New Connectivity Model
Background
In Fiscal Year 2008, the campus restructured network charges. During the past nine months, a study was done by ITS to assess
the current and future state of network and telecom services. The study indicated that telecom is priced higher than its average
cost of operation while network services have been underpriced, and not all units were paying a fair share of the costs. Further
investments in the network are required to maintain service levels, so it is proposed that the campus make a one-time $3M
investment in addition to using existing ITS plant funding.
Changes for Fiscal Year 2012
Effective Fiscal Year 2012, the telecom and network services charges will be combined and recalibrated to an overall lower rate
for users. Other changes that will benefit the campus community will be:
 Domestic long-distance, one-time equipment moves, and phone set programming changes will no longer be charged
 An increased distribution of connectivity charges to include solely grant-funded programs, resulting in a reduction of
charges for current campus telecom payers
 The addition of outbound Caller ID (at no charge or fee)
 Current General Fund telecom users will retain budget equivalent to 10% of their FY2010 telecom expenses and not be
billed for telecom charges just as they are not billed for network charges today (90% of General Fund budget will be
returned to the campus similar to how the Fiscal Year 2008 network charges were restructured)
 Fees for various services will no longer be charged, such as “gig-e” (1 gigabit) ports and activating new jacks in existing or
new buildings. Phone and network jacks requiring outside contractors will be charged at an average of $130 with small
variations (was $400) and for large numbers of new jacks, such as for new construction and renovation, large scale
costing will be possible.
 The network will become more reliable (including battery-backup for network closets), more secure, and the network
core or “backbone” will become faster. RESNET will be brought to this campus standard as well.
 Wireless network service will be extended to campus areas not now covered or not covered well, and will evolve to the
current standard for wireless (802.11n)
 Regular and planned renewal and replacement for the network (data, video, and voice) is now built-in to a ten+ year plan
Connectivity Rates Chart (out-years are necessarily predictions due to the rapidly evolving nature of technology)
Implementation Plan
 Multiple communication channels will be targeted to explain and implement this change
 In Fiscal Year 2012, for General Fund telecom users, the campus will sweep in continuing budget authority the
equivalent of 90% of the Fiscal Year 2010 telecom charges. The net impact to campus units is near cost neutral and the
Budget Office will work closely with unit managers that have an unfavorable cost impact from this transition.