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Duluth schools plan $702,000 Spectrum WAN contract and $300,000 Chromebook buy as E-rate offsets expected
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Summary
The committee reviewed a single-bid Spectrum WAN contract priced at $11,700 monthly for five years ($702,000) and heard technology staff estimate roughly $300,000 to buy Chromebooks for incoming middle-school students; the district expects E-rate to cover about 60% of eligible technology expenses but approvals are not guaranteed.
At the April 13 HR Business Services Committee meeting, the district presented multiple technology procurements tied to classroom connectivity and device replacement.
Staff described Bid 1349 for district-wide wide-area-network services, including the 1st Street building, which returned one bid from Spectrum at $11,700 per month for a five-year term (about $702,000 total). Amber Sadowski said the RFP and review process were completed and that the district needs connectivity for the renovated 1st Street site beginning July 1. Greg Krueger, who presented the technology report, explained only one vendor could meet the district’s present infrastructure needs and that switching providers could trigger early-termination fees on an existing contract.
The committee also discussed ongoing E-rate federal funding for eligible tech purchases. Greg described E-rate as funded by the Universal Service Fund and said, “For us, I believe it presently pays about 60% of eligible expenses,” while noting reimbursement formats vary and approvals are not guaranteed.
On devices, Greg said procuring earlier is preferable due to market strains and rising prices and estimated "it would be about $300,000 to purchase the amount of Chromebooks we need to furnish devices to our incoming middle schoolers and also keep a reasonable quantity of spares on hand." He warned Chromebook prices are higher than in the past and recommended early procurement where possible.
The committee also reviewed Wi‑Fi licensing/support (Bid 1350), which returned one vendor, CDW/G, at $86,400 annually for five years ($432,000) where some portion of the cost is expected to be covered by E-rate discounts. Members asked clarifying budget questions about E-rate offsets and how the district records the revenue when reimbursements are received.
Next steps: staff said they will continue to work with finance to identify funding sources, pursue E-rate applications where eligible, and return with procurement decisions as required by district policy and timeline.
