Ukiah approves public–private partnership with Vero Fiber to build grant-funded city fiber network

The Ukiah City Council on Aug. 20 approved a public–private partnership with Vero Fiber Networks to design, build and operate the city’s grant-funded “Ukiah Gigabyte” fiber project and authorized a related sole-source engineering contract. The council voted to authorize the city manager to finalize and execute a design‑build and 35‑year lease, operate and maintain agreement and to award construction engineering and inspection services to Utility Design Services LLC.

The partnership implements a California Public Utilities Commission last‑mile grant the city won in 2023. Andrea Trincato, the city’s project and grants administrator, told the council that the CPUC award totals $5,600,000, of which $3,300,000 is allocated to build the new fiber network and $1,700,000 is intended to replace utility poles that do not meet compliance. “Vero has committed to $1,300,000 in match funding to construct this project,” Trincato said. She described the first phase as 23 miles of fiber—17 miles aerial on city poles and 6 miles underground—and said the design will pass about 375 locations identified as unserved by the grant application.

Under the approved contract, Vero will design and construct the network under the grant and will operate and maintain it for a 35‑year term. Trincato said the city will receive no‑cost internet service at city facilities and “dark fiber connections to a total of 14 city facilities,” and staff estimated about $55,000 in annual savings to start. Vero’s proposal includes fixed customer pricing for the first five years, with low‑income qualifying plans beginning at $39.99 per month and a baseline retail plan at $49.99 per month for 100/100 Mbps symmetrical service; the top tier in the presentation reached multi‑gig speeds.

Evan Biaghi, Vero’s chief revenue officer, joined staff at the dais and told the council Vero plans to staff local installation and customer service functions as the project expands. “We’ll have local staff here…installation techs,” Biaghi said, adding the company already operates similar projects and can provide references.

Council members asked several technical and project‑management questions. Staff warned council the CPUC grant included strict completion deadlines tied to federal funding, and that if deadlines were missed the CPUC could withhold or seek recovery of grant funds. Trincato said the PPP includes a design‑phase opt‑out to allow either party to withdraw if design costs exceed available funding; she also noted Vero has committed to absorb cost overruns for network construction after the opt‑out/design phase.

Council approved two related actions: (1) the PPP agreement with Vero for a design‑build and grant‑funded Ukiah Gigabyte fiber project with a not‑to‑exceed city exposure of $3,277,654 and authorization for the city manager to negotiate and execute the agreement; and (2) a sole‑source contract with Utility Design Services LLC for construction engineering and inspection for the project, corrected on the record to a not‑to‑exceed amount of $337,275. The staff report notes the Utility Design Services work is specialized because roughly 75% of the new aerial fiber will attach to the city’s existing utility poles; the firm’s principal engineer, Al Smatsky, has an extended history designing and inspecting Ukiah electrical infrastructure.

Staff emphasized the project’s phased structure: the PPP covers the grant‑funded build that must meet the CPUC’s grant schedule; pole replacement work paid from the $1.7 million portion of the grant will be procured as a separate city project and brought back to council for competitive bidding. Trincato also described a planned privately funded phase 2 that Vero expected would expand service citywide with an estimated additional $10 million investment.

Council members who spoke in favor described the project as a major step toward improving affordable high‑speed Internet, closing digital‑access gaps and supporting economic development. After council approval, Trincato and Vero staff said they would proceed into detailed design and begin the procurement and permitting steps required to meet the grant timeline.