Updated Jan. 26, 2015

MOREnet Council Meeting Agenda

TIME: 1:30-2:30 p.m. PLACE: Audio Call - (866) 299-7945 Wednesday, March 4, 2015 Participant Code: 8257350

A G E N D A

Page Presentation by: I. Introduction

1. Call to Order Jim Brown, Chair

2. Introduction of Council Members, Staff, Observers Jim Brown, Chair

3. Call for Additional Agenda Items and Adoption of Jim Brown, Chair

Agenda

II. Action Items 1. Minutes of the January 30, 2015, MOREnet Council 9 Jim Brown, Chair

Meeting – Approval III. Discussion/Information Items

1. FY16 Updated Work in Progress Budget Projection - 10 Lynn Burgan

Information

2. Project Updates - Information a. K-12 and Library Research Investment Projects 13 David Drum b. Southeast Missouri (SEMO) Fiber Project 14 Hank Niederhelm c. MOREnet Backbone Upgrade 15 Hank Niederhelm

3. Meeting Schedule*

a. Thursday, May 28, 2015, 10 - 2 p.m. (MOREnet Offices) b. Thursday, Aug. 27, 2015, 9 – 11 a.m. (Conference Call) c. Monday, Nov. 30, 2015, 11:30 a.m. – 3:30 p.m. (MOREnet Offices)

IV. Open Time for the Public to Address the Council *Public may attend at 221 North Stadium, Suite 201, Room 206.

MOREnet Council Members

Title First Last Position Organization E-mail Phone Term Ends

Dr. Gary Allen

Vice President for Information Technology, University of Missouri Chief Information Officer, Executive Director UMBC, Assoc Prof Vet Path

University of Missouri allengk@missouri.edu (573) 882-9200 No Term

* Mr. Jim Brown Director St. Charles City County Library jbrown@stchlibrary.org (636) 441-2300 6/30/2016

Ms. Barbara Reading Director Missouri State Library barbara.reading@sos.mo.gov (573) 751-2751 No Term

Dr. Jacque Cowherd Superintendent Fulton 58 jcowherd@fulton58.org (573) 590-8000 6/30/2016

Mr. Eva M. Dunn Director Bollinger County Library emz000@hotmail.com (573) 238-2713 6/30/2017

*** Mr. John Gillispie Executive Director MOREnet gillispiej@more.net (573) 884-2666 No Term

Ms. Leigh Ann Grant-Engle Assistant Commissioner Department of Elementary & Secondary Education leighann.grantengle@dese.mo.gov (573) 522-8310 No Term

Dr. John Heard Vice President , Research, Grants, and Information Systems AT Still University jheard@atu.edu (660) 626-2397 6/30/2017

Mr. Trey Katzer Director of Technology Liberty Public Schooltkatzer@liberty.k12.mo.us

(816) 736-6896 6/30/2018

Mr. Joel LaReau Vice Chancellor of Information Technology Ozarks Technical Community College lareauj@otc.edu (417) 447-7552 6/30/2016

Ms. Sue Lightfoot Director Carrollton Public Library director@carrolltonlibrary.com (660) 542-0183 6/30/2018

Dr. Rusty Monhollon Assistant Commissioner for Academic Affairs Department of Higher Education rusty.monhollon@dhe.mo.gov (573) 751-5221 No Term

Mr. John Robertson Superintendent Hallsville R-IV jrobert@hallsville.org (573) 696-5512 6/30/2017

Mr. Tim Robyn State Chief Information OfficerOffice of Administration Information Technology Services Division

tim.robyn@oa.mo.gov (573) 526-7742 No Term

** Mr. Al Stadler Chief Information Officer Missouri Southern State University stadler-a@mssu.edu (417) 625-9807 6/30/2018

Dr. Mary Lou Fritts CIO and Sr. Vice Provost University of Missouri-Kansas City frittsml@umkc.edu (816) 235-1107 No Term

Ms. Debbie Musselman Library Development Director Missouri State Library debbie.musselman@sos.mo.gov (573) 751-2679 No Term

Mr. Paul Mensching Superintendent East Buchanan Co C-1 mensching@ebs.k12.mo.us (816) 424-6466 6/30/2015

Mr. Archie Sprengel Assistant Vice President, Information Technology Southeast Missouri State University awsprengel@semo.edu (573) 651-2217 6/30/2015

Ms. Natasha Angell angelln@more.net (573) 882-9025

Ms. Lynn Burgan burganl@more.net (573) 884-2316

Mr. Chip Byers Director Strategic Initiatives chip@more.net (573) 882-9787

Ms. Sherry Loyd Executive Staff Assistant II loyds@more.net (573) 884-2666

Mr. Hank Niederhelm Director Infrastructure hank@more.net (573) 884-6326

Ms. Nikki Witting wittingn@missouri.edu (573) 884-6476

MOREnet Council Alternates (vote only when serving as proxy for their above Council member)

MOREnet StaffDirector Member Services and Development

Director of Fiscal & Contractual Services & Human Resources* Chair** Vice Chair***Non-Voting

Manager, Business and Finance

Updated by Loyd, December 2014 1

MODIFICATION TO THE MEMORANDUM OF UNDERSTANDING June 4, 2013 Meeting

Proposed Modification to the MOU – Approval 

John Gillispie explained the proposed request to modify the Memorandum of Understanding (MOU) to a 

calendar year officer rotation. Chair Palmer asked for a motion to approve the proposed modification to 

the MOU. Jacque Cowherd moved to approve the MOU modifications of changing the fiscal year 

rotation to a calendar year rotation starting with the nominations at the June 4, 2013 meeting. David 

Doennig seconded the motion and it passed unanimously.  

2.1.5. The MOREnet Council will be chaired by a voting, seated representative elected

annually, following the fiscal year calendar, by the MOREnet Council. A vice chair will be elected annually by the MOREnet Council to fulfill the duties of the chair in his or her absence. The current chair will appoint a nominating committee from which the MOREnet Council will elect both the chair and vice chair. The MOREnet Council reserves the right to propose the replacement election of any chair or vice chair that is unable or unwilling to fulfill his or her duties.

Proposed Modification:

2.1.5. The MOREnet Council will be chaired by a voting, seated representative elected annually, following a the fiscal calendar year calendar schedule, by the MOREnet Council. A vice chair will be elected annually by the MOREnet Council to fulfill the duties of the chair in his or her absence. The current chair will appoint a nominating committee from which the MOREnet Council will elect both the chair and vice chair. The MOREnet Council reserves the right to propose the replacement election of any chair or vice chair that is unable or unwilling to fulfill his or her duties.

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GLOSSARY

Created by Loyd 6/20/2014

Term or Acronym Definition Affiliates Non-profit organizations, state government, healthcare and similar organizations are eligible to become a

MOREnet Affiliate member.

Aggregation Circuit A circuit that combines multiple tail circuits on a single larger capacity circuit to MOREnet.

Backbone Circuit A circuit that connects two hub facilities.

Backbone Network Statewide fiber network linking schools, public libraries, academic institutions and state agencies together and to a secure broadband Internet connection, Internet2, staff training, technical support and electronic resources.

City and County Members In September 2012, MOREnet introduced two service package offerings to support the specific technology needs of Missouri’s cities and counties. Like other members, these local government entities may also elect to purchase an Internet Circuit through MOREnet.

Computer Numerically-Controlled (CNC) Machine

Operates by reading the code included in a computer-controlled module, which drives the machine tool and performs the functions of forming and shaping a part formerly done by machine operators.

E-rate Federal educational discount for technology purchases for K-12 schools and public libraries.

Fabrication Lab (FabLab) Small-scale workshop offering (personal) digital fabrication.

Federated Identity Management (FIM)

An approach to identity management (IdM). It amounts to having a common set of policies, practices and protocols in place to manage the identity and trust into IT users and devices across organizations.

Flipped Classroom A form of blended learning in which students learn new content online by watching video lectures, usually at home, and what used to be homework (assigned problems) is now done in class with teacher offering more personalized guidance and interaction with students, instead of lecturing.

InCommon Operated by Internet2, provides a secure and privacy-preserving trust fabric for research and higher education, and their partners, in the United States.

Internet2 A not-for-profit United States computer networking consortium led by members from the research and education communities, industry, and government.

Internet Circuit A circuit from MOREnet to an Internet Service Provider (ISP) used to access the commodity Internet.

Investment Project Evaluation Policy

Indicates how potential projects to be funded out of reserves would be brought before the Council for consideration.

Learning Management System (LMS)

A software application for the administration, documentation, tracking, reporting and delivery of e-learning education courses or training programs.

Managed Connection Fee Flat fee for members with MOREnet tail circuits. Fee includes end-to-end connection monitoring, router management, connection utilization information, after-hours monitoring and connection-related Network Security services.

Membership Service Package Fees

Fees paid to access consortium provided services. Packages may include a combination of services including technical support for member networks, videoconferencing for distance learning, network security for incident response and training related to the network and other technologies. Starting in FY12 two service package offerings were made available for our traditional school and library members: Full-Service – MOREnet’s traditional service offering with unlimited service levels and no additional fees requires, no tracking or forecasting. Basic – Same services offerings, but limited volumes with the ability to buy more as needed. Separate package offerings are available for local government entities.

Missouri Education & Research Consortium (MERC)

Comprised of eligible Missouri higher education institutions.

Minimum Operating Reserves (MOR)

The MOR is the greater of 60 days working capital or the amount deemed necessary for orderly shut-down (formerly referred to as the FER).

Network Connectivity Fee (NCF)

Fee related to the member's access to and use of the MOREnet network and its components. Includes access to the backbone network, Internet and Internet2.

Plant Fund (PF) A mechanism for establishment of funds to support future anticipated or emergency capital expenditures.

Tail Circuit A circuit from a member site to the Local Exchange Carrier (LEC) or telecommunication provider.

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Updated Jan. 30, 2015

DRAFT MOREnet Council Meeting Minutes

TIME: 3:00-4:00 p.m. PLACE: Audio Call Friday, January 30, 2015 (866) 299-7945 / 8257350 Members present: Alternates present: MOREnet staff present: Jim Brown - Chair Debbie Musselman Natasha Angell Gary Allen Lynn Burgan Jacque Cowherd Chip Byers Eva Dunn Sherry Loyd John Gillispie Hank Niederhelm John Heard Nikki Witting Joel LaReau Barbara Reading John Robertson Tim Robyn Archie Sprengel Albert Stadler Chair Brown called the MOREnet Council meeting to order. Those who were in attendance are listed above. ACTION ITEMS/INFORMATION ITEMS FY16 Member Fees - Endorsement Lynn Burgan reviewed the FY16 membership fees for Membership Service Packages (MSP), the Managed Connection Fee (MCF), the Network Connectivity Fee (NCF) and For-Fee Services (FFS). The membership fee increase will impact 271 members (39%). Depending on the FY16 MSP revenue, cost of the database renewals and the REAL program, fees may need to increase for FY17 and FY18 to generate additional revenue of $200K each year. With the MSP changes, expenses were able to be decreased by $572K with an expectation of increasing revenue by $200K, reducing FY16 work in progress budget deficit from $1.083M to $311K which should be able to be covered with NCF revenue growth or the database contingency fund. An updated FY16 budget will be presented at the March 4 MOREnet Council meeting. John Gillispie added that as resources become available the situation would be reviewed. Billing usually occurs in July but staff may decide to delay the cycle if warranted by the Governor’s actions. As last year, MOREnet will be flexible. Jacque Cowherd moved to endorse the FY16 Member Fees as proposed. Joel LaReau seconded and all were in favor and it passed unanimously. Meeting Schedule January 30, 2015 – 3:00-4:00pm – Audio Only March 4. 2015 from 1:30-2:30 – Conference Call

Sherry Loyd shared that after creating the draft agenda for the March 4 meeting, it was decided to shorten the meeting to 1:30-2:30.

June, 2015 – TBD – Face-to-Face at MOREnet Offices August 27, 2015 from 9:00-11:00 – Conference Call November 30, 2015 from 11:30-3:30 – Face-to-Face at MOREnet Offices

Meeting adjourned at 3:14 p.m. Respectfully Submitted by Sherry Loyd

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Created by Lynn Burgan February 19, 2015

AGENDA ITEM SUMMARY FY16 UPDATED WORK IN PROGRESS BUDGET PROJECTION

AGENDA ITEM FY16 Updated Work In Progress Budget Projection DESCRIPTION The updated budget is based on the FY16 member fee schedules, FY15 revenues for all member groups except for libraries which is based on losing 24 connections and losing 31 membership service packages in FY16 and FY16 updated expense estimates. The result is projected revenue over expenses of ($381,134) for FY16. MOREnet plans to use the portion of the Minimum Operating Reserve (MOR) for online resources to cover any FY16 deficits. 1. K12, MERC, Affiliates, and Libraries Revenue The updated budgeted revenue for each member group includes: Membership Service Package Revenue

The budgeted revenue is based on FY15 membership levels and selection, and the FY16 membership pricing schedule.

Network Connectivity Fee (NCF)

The budgeted revenue is based on current network connections as of February 1, 2015, reduced by 24 for library connections MOREnet expects to lose in FY16, the FY16 pricing schedule, and a $943,688 payment for the network management MOU.

Managed Connection Fee (MCF)

The budgeted revenue is based on 745 connections which has been reduced by 24 for library connections MOREnet expects to lose in FY16, and MCF of $1,300 per connection.

Connection Revenue

The connection revenue is based on pass through circuit costs (tail circuits) and losing library connections without an early termination penalty.

2. E-rate Reimbursements The E-rate reimbursement is based on projected eligible expenses and FY14 E-rate discount rates. The increase is based on receiving reimbursement on the increased aggregation circuit and library circuit expenses.

3. Other Fees and Miscellaneous Revenues Other fees and miscellaneous revenues decrease is due to the reduction of the MTN MOU for administration services which are no longer needed by MTN.

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Created by Lynn Burgan February 19, 2015

EXPENSE 1. Network Related Expense

Network related expenses are based on bandwidth projections, circuit cost estimates, equipment and software expense related to the shared network and member connections, and other shared network expenses. Major areas of change include:

$457,476 increase for aggregation circuit expenses; and $14,885 increase for hut rent expenses; and $83,999 increase for additional security and firewall maintenance.

2. Connection Expense Connection expenses are based on the cost of tail circuit connections and losing 24 library connections. 3. Other Expenses

Other expenses includes a $572,000 decrease in online resources expenses for not renewing Gale and HeritageQuest, a $43,868 increase in MOREnet annual conference for change of location which will be offset by increased sponsorship revenue, and a $47,859 increase in member related service expenses.

4. Direct & G&A Salaries and Benefits Direct and G&A salaries and benefits includes $258,215 for open positions, and 2.0% salary and benefits increase.

5. G&A Expenses

The operating expenses include decreases in travel, member outreach, telephones, and professional services, equipment and maintenance.

FUND BALANCES, ENDING BALANCE TRANSFERS, AND RESERVES BALANCES AND UNOBLIGATED RESERVES

Total

($ millions) Draft FY16 Ending Balances - Operating 14.358 Draft FY16 Ending Balances - Plant 1.084 Less FY15 Minimum Operating Reserves (MOR) (2.998) Total Reserves Net MOR 12.444 Less Current FY15 E-rate Accruals (15.278) Unobligated Reserves at the end of FY16 (2.834)

RECOMMENDED ACTION None ATTACHMENT(S) FY16 Updated Consolidated Work In Progress compared to the FY16 Consolidated Work In Progress

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FY16 Updated Consolidated Work in Progress Budget

FY16 Updated WIP FY16 WIP Update ChangesRevenues:K-12 9,996,233 9,854,571 141,662 Higher Education 2,708,295 2,779,752 (71,457) Affiliates 1,544,961 1,564,671 (19,710) Libraries 1,868,823 1,340,648 528,175 REAL MOU - - - E-rate Reimbursements 10,253,302 9,628,494 624,808 Investment Income 38,576 38,576 - Other Fees and Miscellaneous 3,266,203 3,279,825 (13,622) Sponsorship Revenue 40,000 18,500 21,500 Revenue Transfers - - - Total Revenue 29,716,393 28,505,037 1,211,356

Expenses:Direct ExpensesInternet Access Circuits 298,643 300,241 (1,598) Aggregation Circuits 1,874,263 1,416,787 457,476 Backbone, I2, Other Network 5,475,789 5,460,904 14,885 Maintenance 665,616 581,617 83,999 Network Related Travel 10,000 10,000 - Total Network Related Expense 8,324,311 7,769,549 554,762

Connection Circuits 9,857,451 9,323,679 533,772 Connection Equipment 50,000 50,000 - Connection Equipment Maintenance 55,668 55,668 - Total Connection Expense 9,963,119 9,429,347 533,772

Member Training 37,330 37,330 - Conferences/Member Meetings 165,053 121,185 43,868 Member Related Travel 15,250 15,250 - Online Resources 828,583 1,401,283 (572,700) Product Development 99,998 99,998 - Member Related Services 466,682 418,823 47,859 Fee-For-Service Related 466,539 463,544 2,995 Total Other Expenses 2,079,435 2,557,413 (477,978)

Direct Salaries and Benefits 5,204,756 5,205,791 (1,035)

Total Direct Expenses 25,571,621 24,962,100 609,521

G&A ExpensesStaff Dev., Travel and Meeting Expense 89,911 89,911 - Member Outreach 2,503 2,503 - Telephone 46,557 46,557 - Office Supplies and Expense 82,499 82,499 - Equipment, Software and Accessories 301,497 301,497 - Maintenance for Equipment and Software 65,354 65,354 - Professional Services 96,951 96,951 - Rent, Utilities, Janitorial, and Security 278,735 278,735 - Total G&A Expenses 964,007 964,007 -

G&A Salaries and Benefits 2,759,076 2,859,204 (100,128)

Total G&A Expenses 3,723,083 3,823,211 (100,128)

Total Expenses 29,294,704 28,785,311 509,393

Fund Transfers (802,823) (802,823) -

Revenue over Expenses (381,134) (1,083,097) 701,963 Fund Balance, Beginning of Year 14,739,499 14,739,499 - Fund Balance, End of Period 14,358,365 13,656,402 701,963 FY15 Minimum Operating Reserve (MOR) 2,998,090 2,998,090 - Fund Balance, after MOR 11,360,275 10,658,312 701,963

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Created by D. Drum, February 2015

AGENDA ITEM SUMMARY PROJECT UPDATES - K-12 AND LIBRARY RESEARCH INVESTMENT PROJECTS

AGENDA ITEM Project Update - K-12 and Library Research Investment Projects DESCRIPTION At the mid-point of the projects, we assess deliverables that have been completed and those that remain. District Research Projects: Fulton 58 Completed

Introduction to Engineering Design course (six full sections across grades 9-12) Fab Lab equipment: 3D printers (4), 3D scanner, vinyl cutter, laser cutter/engraver, CNC routers (4’ x 8’ and 4’

x 4’), CNC lathe, plasma cutter, shop equipment, robotics kits (various) Robotics Club at Middle School

Remaining Documentation (findings, resources, programs, policies, classroom models, professional development plans and

materials, best practices, surveys, etc.) Grandview R-II Completed

1:1 devices at Middle School Bring Your Own Device (BYOD) policies for all grades

Remaining Off-campus content filtering of district-owned 1:1 devices 1:1 devices at Elementary School Replicable flipped classroom model Library of virtual courses Documentation (findings, resources, programs, BYOD/1:1 policies, flipped classroom models, professional

development plans and materials, best practices, surveys, etc.) Library Research Project: University City Public Library Completed

Audio-visual MakerSpace hardware and software Digital Repository Library Web Site Digital Branch Fabrication MakerSpace (3D printer) Technology training Patron surveys pre- and post-implementation

Remaining Documentation (findings, resources, programs, policies, services models, professional development plans and

materials, best practices, usage tracking, etc.) Audio-visual MakerSpace facility (recording booth) Fabrication MakerSpace (laser cutter, vinyl cutter)

RECOMMENDED ACTION None ATTACHMENT(S) None

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Created by Hank Niederhelm, February 18, 2015

AGENDA ITEM SUMMARY PROJECT UPDATE - SOUTHEAST MISSOURI (SEMO) FIBER PROJECT

AGENDA ITEM Project Update - Southeast Missouri (SEMO) Fiber Project DESCRIPTION All phases related to the SEMO project have been completed and the new backbone went into production on January 7, 2015. As of February 17, 46 members have authorized quotes to connect to the new backbone. MOREnet offers three term options for the last-mile or tail circuit to a site. A majority of members are opting for a 5-year term, although 18 members have opted for a 20-year term.

5 YearCommitment

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10 YearCommitment

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20 YearCommitment

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The project goal was to sign up 100 members. The bandwidth growth assumption, for members signing up, was to double bandwidth once during the 20-year project. Bandwidth commitments have increased by 50.4% for the members who have signed up.

Member Take-Rate(Committed / Target)

Bandwidth(Current / Committed)

46 / 100 2.76Gbps / 4.16Gbps

Circuit Status(Activated / Ordered)

14 / 46

Fourteen member circuits are in production. The remaining member circuits will be activated after fiber construction to the sites is completed. RECOMMENDED ACTION None ATTACHMENT(S) None

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Created by Hank Niederhelm, February 17, 2015

AGENDA ITEM SUMMARY PROJECT UPDATE - MORENET BACKBONE UPGRADE

AGENDA ITEM Project Update - MOREnet Backbone Upgrade DESCRIPTION Member bandwidth capacity grew by 48% in FY14. As a result, utilization on the Kansas City to Columbia (KC-COL) and the Columbia to St. Louis (COL-STL) 10Gbps backbone circuits has increased and reaches ~65% consistently during normal business hours. Usage on these circuits peaked at 94% on September 17 during Apple’s release of iOS 8. MOREnet engineers finalized plans to upgrade the backbone circuits from KC-COL and COL-STL to 20Gbps and completed the upgrade prior to March 1, 2015. RECOMMENDED ACTION None ATTACHMENT(S) None

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