Introducing the LCCAMP Model - MAV website€¦ · INTRODUCING THE LCCAMP MODEL . ASSET MANAGEMENT...

Introducing the LCCAMP Model

National LG Infrastructure & Asset Management Conference

Anthony Coates

Director LGIS Operations

7 May 2014

Local Government Infrastructure Services (LGIS) is a

joint venture of Queensland Treasury Corporation

(QTC) and Local Government Association of

Queensland (LGAQ)

From 1 July 2014 LGIS will be a fully owned

subsidiary of LGAQ

LGIS was established in 2005 specifically to serve

the infrastructure related needs of Queensland local

governments

We specialise in:

infrastructure options & strategy development

program management

procurement advice

demand management

Our Aims

Provide expertise in developing & evaluating efficient

& effective infrastructure solutions

Reduce the risk & costs of infrastructure procurement

and operation

Capture economies of scale & scope in relation to

infrastructure

Develop innovative procurement and infrastructure

management solutions

4

CORE ASSET MANAGEMENT Pursue capital works that best meet

financial / social / environmental /

governance objectives (within

budget)

How asset performance

compares with ratepayer

expectations

Maximise proactive

maintenance works

(within budget)

Core asset management

plans focus on three key

areas

Underpinned by

asset register & conditions

5

CORE ASSET MANAGEMENT HAS

ITS LIMITATIONS

1. It’s difficult to quantify the impact of AM decisions on O&M,

Capex, LOS, COS and the associated risks.

eg, if we divert resources from one asset class to another, how

does in impact on both? And what’s the whole-of-council impact?

6


ITS LIMITATIONS (CONT.)

2. It’s not always clear whether assets are being under/over-

serviced, or are receiving the right amount of attention.

7


ITS LIMITATIONS (CONT.)

3. Where we under/over-service assets, it’s difficult to identify

the appropriate levers to use to address the imbalance.

8

Defined budget

with 10 year

forecasts

Pot hole

repairs

O & M

New

swimming

pool

O & M

Capex

Useful life

of WTP

revised

down

Capex

Car park

upgrade to

library

Capex

Capex

Road

works

O & M

Improve

waste

collection

services

O & M

Capex

Recreation

park

O & M

Capex

IMPACT ON CAPEX AND O & M

9 IMPACT ON SERVICE LEVELS

Defined budget

with 10 year

forecasts

Pot hole

repairs

O & M

New

swimming

pool

O & M

Capex

Useful life

of WTP

revised

down

Capex

Car park

upgrade to

library

Capex

Capex

Road

works

O & M

Improve

waste

collection

services

O & M

Capex

Recreation

park

O & M

Capex

High

service

levels

Low

service

levels

VS

High

service

levels

VS

10

INTRODUCING THE LCCAMP MODEL

11

ASSET MANAGEMENT PLANNING MATURITY

CURVE

12

LCCAMP MODEL OBJECTIVES

1. To demonstrate how, now and over the next 10 years, the

asset management strategy as a whole, will perform

2. To understand the impacts of Capex / O&M / Service Level

decisions

3. To act as a Decision Support Tool for elected members and

EMT

13

LCCAMP INTEGRATES EXISTING

ASSET MANAGEMENT STRATEGIES

PM score: 8

Risk score: 7

PM score: 5

Risk score: 7 PM score: 9

Risk score: 7

14

PERFORMANCE MANAGEMENT

AND RISK MANAGEMENT

Performance management score refers to the networks’

ability to provide and maintain timely, responsive and

sustainable infrastructure

Risk score refers to the resilience of the asset network

15

COUNCIL PERFORMANCE ON A PAGE

Whole of Council LCCAMP Dashboard

Select Scenario Select Financial Year

Example Council Summary FY 2019/20 - Base caseCapexPM Score: 6.65

Risk Score: 6.73

Net Capex Forecast: 210.1M

Capex Budget: 188.8M

LoS

O&M PM Score: 7.25

PM Score: 7.34 Risk Score: 6.42

Risk Score: 7.16

Cost of Service Score (PM): 4.52

O&M Forecast: 636.9M Cost of Service Score (Risk): 4.44

O&M Budget: 513.0M Expected CS Score (PM) 6.98

Expected CS Score (Risk) 6.97

Capital Expenditure

Level of ServiceOperating & MaintenanceExpenditure

1 2

16

ASSET PERFORMANCE ON A PAGE

Example Council Asset Level Dashboard

Select Scenario Select Financial Year Select Service Asset Class

Transport Summary FY 2013/14 - Base caseCapexPM Score: 6.26

Risk Score: 7.19


Capex Budget: 43.6M

LoS

O&M PM Score: 7.15

PM Score: 7.54 Risk Score: 5.77

Risk Score: 7.12


O&M Forecast: 138.2M Cost of Service Score (risk): 2.90

O&M Budget: 135.2M CS Score (PM) 6.51

CS Score (risk) 6.45

Transport

Capital Expenditure

Level of ServiceOperating & MaintenanceExpenditure

1 32

17

DEFINING THE RELATIONSHIPS IS

KEY

Define AM metrics

Map each metric to our AM strategies

Calculate metrics (and

resulting scores)

Develop courses of action to

improve scores

1 2 3 4

18

1) DEFINE ASSET MANAGEMENT

METRICS Sustainability ratio

LCCAMP calculates:

- 21 asset management metrics

- 29 cost of service measures

19

2) MAP METRICS TO STRATEGIES

Sustainability ratio

CoS (eg, $ per km) Effective &

efficient

maintenance

20

2) MAP METRICS TO STRATEGIES

Sustainability ratio

CoS (eg, $ per km)

Effective &

efficient

maintenance

Community

satisfaction

KPI 4

KPI 5

KPI 6

21

Capex

O&M

LOS

Community satisfaction

(#) (t)

Asset consumption(%) (t) Asset renewal

(%) (t)

Sustainability Ratio (%) (t)

Weighted average remaining useful life

(years) (t)

Annual asset consumption to

deliver the service per person

($) (t)

Reactive maintenance mgmt and service delivery

(%) (t)

O&M per asset replacement value

(%) (t)

Effective and efficient

maintenance(%) (t)

% impact in O&M(%) (t)

Prior year's O&M expense

(t)

Annual total depreciation

(t)

Total depreciation(t)

O&M expense(t)

Total maintenance expense

(t)

Proactive maintenance mgmt and service delivery

(%) (t)

Total proactive maintenance

expense(t)


(t)

Total infrastructure/person(t) (%)

New & upgrade/renewal ratio

(%) (t)

New & upgrade/Total capex

(%) (t)

Total capex(t)

Capital replacement ratio

(%)(t)

Capex budget variance

(%) (t)

Total forecast capex(t)

D20 Population forecast

(t)

Years new asset has been in operation

(t)

D1 Capex budget(t)

D7 Renewal budget(t)

New capex(t)

New capex(t)

D6 Existing asset replacement value

(s)

Current year’s O&M expense

(t)

Prior year’s Opex(t)

Prior year’s total maintenance

expense(t)

Current year’s Opex(t)

Current year’s total maintenance

expense(t)

Total asset book value

(t)

D17 Community satisfaction scoring

of sub-assets(s)

D5 Avg remaining useful life of existing

assets (t)


(t)

Book value of new assets

(t)

Total reactive maintenance cost

(t)

Total asset replacement value

(t)


(t)

Renewal capex(t)

Book value of existing assets

(t)

Book value of total assets

(t)

Replacement cost of total assets

(t)

Useful lives of new assets

(s)

Renewal capex(t)

Renewal capex(t)

O&M budget variance

($) (t)

D8 O&M budget(t)

Total capex(t)

% increase in CoS(%) (t)

D2…. Last year’s CoS(t) This year’s CoS

(t)

Service satisfaction measure - all

(t) (%)

Renewal capex


(t)

Renewal capex(t)

O&M expense(t)

Service satisfaction measure - actioned

(t) (%)

D25 Total number of service calls actioned for all

assets(t)

D24 Total number of service calls

actioned for the asset class

(s)

Cost of service (t) ($) (figure 36)


raised for the asset class

(s)


raised for all assets(s)

IDENTIFYING DATA

START WITH THE OUTPUTS AND WORK BACK AND BACK

22

Capex

O&M

LOS


(#) (t)


(%) (t)



(years) (t)



($) (t)


(%) (t)


(%) (t)


maintenance(%) (t)



(t)


(t)


O&M expense(t)


(t)


(%) (t)


expense(t)


(t)



(%) (t)


(%) (t)

Total capex(t)


(%)(t)


(%) (t)



(t)


(t)

D1 Capex budget(t)

Depreciation on new assets

(t)


New capex(t)

D3 User selection of capex projects

(s)D2 Capital works

plan capex(t)

New capex(t)

Opex(t)

Opex for existing assets

(t)

Opex for new assets(t)


expense(t)

Total reactive maintenance

expense(t)

D9 O&M expenses for existing assets

(s)D2 Capital works

plan capex(t)

D12 O&M spend as % of BV for the new

asset(t)

D13 Opex as % of O&M for the new

asset (s)

% of asset which is operational in the

current year(t)

Proactive maintenance for existing assets

(t)

Proactive maintenance for

new projects(t)


(s)


asset(t)

D13 Proactive maintenance as %

of O&M for the new asset

(s)


current year(t)


asset(t)

D13 Reactive maintenance as %


(s)


current year (t)

Reactive maintenance for existing assets

(t)

Reactive maintenance for

new projects(t)


(s)


(s)


(t)



expense(t)



expense(t)


(t)


(t)

Depreciation of new assets

(t)

D2 Capital works plan(t)


(t)

D4 Useful lives of new assets from

capital works plan


of sub-assets(s)


(t)

New asset replacement value

(t)

D3 User selection of capex project

(s)

Current year (S)


(t)

Annual depreciation on new assets

(t)


(t)


(t)


assets (t)


(t)


(t)


(t)


Project start year(s)

Project end year(s)

D2 Capital works plan capex

(t)

Total capex cost of new assets

(t)


(t)


(t) D5 Average remaining useful lives of existing

assets(t)

D6 Replacement value of existing

assets

Annual depreciation on existing assets

(t)


(t)

Capex cost of new asset

(s)

Depreciation on existing assets

(t)


(t)

Renewal capex(t)


(t)

Current year (S)



Project end year(s)


(t)

Depreciation rates on new assets

(s)


(s)


(t)


(t)


(s)

Renewal capex(t)

Renewal capex(t)

O&M budget variance

($) (t)

D8 O&M budget(t)

Total capex(t)


(s)


(t)



(t)

Corporate overhead allocation

{t}

D10 Forecast corporate overhead

allocation{t}

D10 Corporate overhead allocation% by sub-asset class

{s}


(t) (%)

Renewal capex


(t)

Renewal capex(t)

O&M expense(t)


(t) (%)


assets(t)



(s)




(s)



IDENTIFYING DATA

START WITH THE OUTPUTS AND WORK BACK AND BACK AND BACK

23

Capex

O&M

LOS


(#) (t)


(%) (t)



(years) (t)



($) (t)


(%) (t)


(%) (t)


maintenance(%) (t)



(t)


(t)


O&M expense(t)


(t)


(%) (t)


expense(t)


(t)



(%) (t)


(%) (t)

Total capex(t)


(%)(t)


(%) (t)



(t)


(t)

D1 Capex budget(t)


(t)


New capex(t)


(s)D2 Capital works

plan capex(t)

New capex(t)

Opex(t)

Opex for existing assets

(t)

Opex for new assets(t)


expense(t)

Total reactive maintenance

expense(t)


(s)D2 Capital works

plan capex(t)


asset(t)

D13 Opex as % of O&M for the new

asset (s)


current year(t)

Proactive maintenance for existing assets

(t)

Proactive maintenance for

new projects(t)


(s)


asset(t)

D13 Proactive maintenance as %


(s)


current year(t)


asset(t)

D13 Reactive maintenance as %


(s)


current year (t)

Reactive maintenance for existing assets

(t)

Reactive maintenance for

new projects(t)


(s)


(s)


(t)



expense(t)



expense(t)


(t)


(t)

Depreciation of new assets

(t)



(t)

D4 Useful lives of new assets from

capital works plan


of sub-assets(s)


(t)

New asset replacement value

(t)


(s)

Current year (S)


(t)

Annual depreciation on new assets

(t)


(t)


(t)


assets (t)


(t)


(t)


(t)



Project end year(s)


(t)

Total capex cost of new assets

(t)


(t)


(t) D5 Average remaining useful lives of existing

assets(t)

D6 Replacement value of existing

assets

Annual depreciation on existing assets

(t)


(t)

Capex cost of new asset

(s)


(t)


(t)

Renewal capex(t)


(t)

Current year (S)



Project end year(s)


(t)

Depreciation rates on new assets

(s)


(s)


(t)


(t)


(s)

Renewal capex(t)

Renewal capex(t)

O&M budget variance

($) (t)

D8 O&M budget(t)

Total capex(t)


(s)


(t)



(t)

Corporate overhead allocation

{t}

D10 Forecast corporate overhead

allocation{t}

D10 Corporate overhead allocation% by sub-asset class

{s}


(t) (%)

Renewal capex


(t)

Renewal capex(t)

O&M expense(t)


(t) (%)


assets(t)



(s)




(s)



Cost of Service measures

Water CoS measures

D9 Total O&M cost of existing dams &

weirs(s)

Waste water CoS measures

Building CoS measures

Fleet CoS measures

Transport CoS measures

Drainage CoS measures

Land CoS measures

D9 Total O&M cost of existing pipelines

(s)

D9 Total O&M cost of existing water treatment plants

(s)Cost per dam &

weirs(t)

Cost per reservoir(t)

Cost per water treatment plant

(t)

Cost per km of pipeline

(t)

D9 Total O&M cost of existing reservoirs

(s)

D9 Total O&M cost of existing sewer

pump stations(s)

D9 Total O&M cost of existing

pipelines/sewers(s)

D9 Total O&M cost of existing WTPs

(s)

Cost per sewer pump station

(t)

Cost per WTP(t)

Cost per km of sewer pipeline

(t)

D9 Total O&M cost of existing kerb &

channels(s)

D9 Total O&M cost of existing roads

(s)

D9 Total O&M cost of existing pathways

(s)

Cost per km of kerb & channel

(t)

Cost per bridge(t)

Cost per km of pathway

(t)

Cost per km of road(t)

D9 Total O&M cost of existing bridges

(s)

D9 Total O&M cost of existing roadside

furniture(s)

Cost per roadside furniture

(t)

Cost per km of drainage

(t)

D9 Total O&M cost of existing drainage

(s)

D9 Total O&M cost of existing heavy

fleets(s)

D9 Total O&M cost of existing minor

fleets(s)

Cost per heavy fleet(t)

Cost per minor fleet(t)

D9 Total O&M cost of existing land

(s)

D9 Total O&M cost of existing buildings

(s)

D9 Total O&M cost of existing sports

complexes(s)

Cost per building(t)

Cost per sports complex

(t)

Parks CoS measures

D9 Total O&M cost of existing parks

(s)

Cost per hectare of park

Recreational CoS measures


recreational facilities

(s)

ICT CoS measures

D9 Total O&M cost for existing

intangible ICT assets

(s)

D21 # of employees(t)

Cultural CoS measures

D9 Total O&M cost of existing cultural

assets(s)

LOS

(from figure 35)

Cost per sq km of land(t)

Total number of reservoirs

(t)

Total length of pipeline (km)

(t)

Total number of dams & weirs

(t)

Total number of water treatment

plants(t)

Total park area (in hecatare)

(t)

Total # of cultural assets

(t)

Cost per cultural asset

(t)

Cost per recreational facility

(t)

Total book value of recreational

facilities(t)

Total length of drainage

(t)

Total number of roadside furniture

(t)

Total kms of road(t)

Total number of bridges

(t)

Total kms of kerb & channel

(t)

Total kms of pathways

(t)

Total sq km of land(t)

Intangible ICT cost per employee

(t)

Total number of buildings

(t)

Total number of sports complexes

(t)

Total number of sewer pump

stations(t)

Total number of WTPs

(t)

Total kms of sewer pipeline

(t)

Total heavy fleets quantity

(t)

Total number of minor fleets

(t)

Total O&M cost of new drainage

(t)

Total O&M cost of new recreational

facilities(t)

Total O&M cost of new cultural assets

(t)

D9 Total O&M cost for new intangible

ICT assets(t)

Total O&M cost of new parks

(t)

Total O&M cost of new dams & weirs

(t)

Total O&M cost of new minor fleets

(t)

Total O&M cost of new heavy fleets

(t)

Total O&M cost of new roadside

furniture(t)

Total O&M cost of new pathways

(t)

Total O&M cost of new kerb & channel

(t)

Total O&M cost of new bridges

(t)

Total O&M cost of new roads

(t)

Total O&M cost of new land

(t)

Total O&M cost of new buildings

(t)

Total O&M cost of new sports complexes

(t)

Total O&M cost of new sewer pipelines

(t)

Total O&M cost of new sewer pump

stations(t)

Total O&M cost of new WTPs

(t)

Total O&M cost of new pipelines

(t)

Total O&M cost of new water

treatment plants(t)

Waste CoS measures

D9 Total O&M cost of existing transfer

stations (s)

D9 Total O&M cost of existing landfill

space(s)

Cost per transfer station

(t)

Cost per square m of landfill space

(t)

Total landfill space (in sqm)

(t)

Total number of transfer stations

(t)

Total O&M cost of new transfer

stations (t)

Total O&M cost of new landfill space

(t)

D9 Total O&M cost of existing public

toilets(s)

Cost per public toilet

(t)

Total number of public toilets

(t)

Total O&M cost of new public toilets

(t)


swimming pools(s)

Cost per swimming pool(t)

Total number of swimming pools

(t)

Total O&M cost of new swimming

pools(t)

D9 Total O&M cost for existing tangible

ICT assets(s)

D21 # of employees(t)

Tangible ICT cost per employee

(t)

D9 Total O&M cost for new tangible ICT

assets(t)

Total O&M cost of new reservoirs

Cost per light fleet (t)

Total O&M cost of new light fleets

(t)

Total number of light fleets

(t)

D9 Total O&M cost of existing light

fleets(s)

IDENTIFYING DATA

START WITH THE OUTPUTS AND WORK BACK AND BACK AND BACK AND BACK

24

3) CALCULATE METRICS AND SCORES

Performance Management Component Scores FY 13/14A FY 14/15E FY 15/16E FY 16/17E FY 17/18E FY 18/19E FY 19/20E FY 20/21E FY 21/22E FY 22/23E

O&M budget variance # 8.92 8.88 8.88 8.86 8.75 8.66 8.57 8.45 8.36 8.36

% impact in O&M # 10.00 7.54 8.31 8.33 8.66 8.82 8.74 8.75 8.94 9.00

Effective and efficient maintenance # 8.82 8.82 8.80 8.80 8.80 8.80 8.80 8.80 8.80 8.80

O&M per asset replacement cost # 8.08 8.00 7.96 7.96 7.88 7.80 7.74 7.64 7.64 7.66

Renewal capex # 2.45 2.40 2.50 2.66 2.69 2.75 2.56 3.06 2.98 2.46

Reactive maintenance mgmt. # 7.74 7.72 7.58 7.56 7.54 7.54 7.48 7.48 7.46 7.50

Proactive maintenance mgmt. # 5.95 5.95 5.99 5.92 5.92 5.92 5.92 5.94 5.94 5.92

O&M KPIs FY 13/14A FY 14/15E FY 15/16E FY 16/17E FY 17/18E FY 18/19E FY 19/20E FY 20/21E FY 21/22E FY 22/23E

O&M budget variance $M -29.3 -48.6 -64.4 -79.1 -97.0 -110.4 -123.9 -140.2 -150.7 -148.9

% impact in O&M % -% 7.9% 7.7% 6.7% 6.8% 5.6% 5.3% 5.6% 4.5% 2.6%

Effective and efficient maintenance % 0.5% 0.6% 0.6% 0.6% 0.6% 0.7% 0.7% 0.7% 0.7% 0.7%

O&M per asset replacement cost % 6.9% 7.1% 7.3% 7.5% 7.8% 7.9% 8.0% 8.1% 8.2% 8.1%

Renewal capex % 8.0% 8.4% 8.7% 8.9% 9.2% 9.3% 9.3% 9.5% 9.3% 8.1%

Reactive maintenance mgmt. % 31.5% 31.4% 32.4% 32.5% 33.1% 33.0% 34.4% 34.1% 34.0% 33.9%

Proactive maintenance mgmt. % 68.5% 68.6% 67.6% 67.5% 66.9% 67.0% 65.6% 65.9% 66.0% 66.1%

25

-

2

4

6

8

10

O&Mbudget

variance

% impactin O&M

Effectiveand

efficientmaintena

nce

O&M perasset

replacement cost

Renewalcapex

Reactivemaintena

ncemgmt.

Proactivemaintena

ncemgmt.

Risk Component Scores - Example Council - (FY 2018/19)

-

2

4

6

8

10

O&Mbudget

variance

% impactin O&M

Effectiveand

efficientmaintena

nce

O&M perasset

replacement cost

Renewalcapex

Reactivemaintena

ncemgmt.

Proactivemaintena

ncemgmt.

Performance Management Component Scores -Example Council - (FY 2018/19)

0

2

4

6

8

10

12

Best practise Advanced Interim Core

Best practise Advanced Interim Core

4) DEVELOP COURSES OF ACTION

TO IMPROVE SCORES

Dashboard reports

indicate which areas

clearly need

addressing.

Here our Renewal

Capex scores are

woeful…

26

“A NEW SWIMMING COMPLEX

WOULD BE NICE…”

27

INTRODUCING SCENARIO MANAGER

LCCAMP Model - Base case

Example Council LCCAMP Scenarios

Select a Scenario Save before reviewing model outputs!Save Scenario

Ad-hoc Capital Projects

Service Asset Sub-Asset Useful Life Nominal Cost Quantity Project Completion

Project Name Project ID Class Class (Years) ($) () Year Year

- -

Capital Project Planning Capital Works Plan - Summary Table

Project Description Net Nominal Cumulative Net of Active or Inactive project list for each scenario

Project ID Priority Score Sub-AssetCost ($M)

Gross Cost

($M)Budget ($M)

Base caseBase case Scenario 2 Scenario 3 Scenario 4 Scenario 5

Road Network Augmentation Program RN16_018 100 Road -1.7 8.3 2,047.0 Active Active Active Active Active Active





Road Network Augmentation Program RN21_003 100 Road -2.1 -1.3 2,056.6 Active Active Active Active Active Active

Road Network Augmentation Program RN14_019 93.33 Road -1.5 -2.9 2,058.1 Active Active Active Active Active Active

Road Network Augmentation Program RN15_018 93.33 Road -1.6 -4.5 2,059.7 Active Active Active Active Active Active

Road Network Augmentation Program RN13_012 92 Road - -4.5 2,059.7 Active Active Active Active Active Active

Capping - Majors Creek Closed landfill 3278 88 Landfill - -4.5 2,059.7 Active Active Active Active Active Active

Add Project

28

WE CAN ADD A $20 MILLION

SWIMMING COMPLEX

Capital Project Planning Capital Works Plan - Summary Table

Project Description Net Nominal Cumulative Net of Active or Inactive project list for each scenario

Project ID Priority Score Sub-AssetCost ($M)

Gross Cost

($M)Budget ($M)

Scenario 2Base case Scenario 2

Road Network Augmentation Program RN16_018 100 Road -1.7 8.3 2,047.0 Active Active Active





Road Network Augmentation Program RN21_003 100 Road -2.1 -1.3 2,056.6 Active Active Active

Road Network Augmentation Program RN14_019 93.33 Road -1.5 -2.9 2,058.1 Active Active Active

Road Network Augmentation Program RN15_018 93.33 Road -1.6 -4.5 2,059.7 Active Active Active

Road Network Augmentation Program RN13_012 92 Road - -4.5 2,059.7 Active Active Active

Bridge Rehabilitation BR13_001 84 Bridge - 4.6 2,050.7 Active Active Active

Bridge Rehabilitation BR15_001 84 Bridge 0.1 4.7 2,050.5 Inactive Active Inactive

Kerb & Channel Replacement Program KC13_002 84 Kerb & channel - 4.7 2,050.5 Active Active Active

Kerb & Channel Replacement Program KC13_040 84 Kerb & channel - 4.7 2,050.5 Active Active Active

Road Reconstruction Program KC13_042 84 Kerb & channel - 4.7 2,050.5 Active Active Active

Road Reconstruction Program KC13_045 84 Kerb & channel - 4.7 2,050.5 Active Active Active

Road Reconstruction Program RR11_023 84 Road - 4.7 2,050.5 Active Active Active



Sewer Pipe Rehabilitation 2717 80 Sewer pipes - 4.7 2,050.5 Active Active Active

MIWR membrane replacement 2723 80 WWTP - 4.7 2,050.5 Active Active Active

Water Pipes Replacement (including cathodic protection) 2731 80 Water pipes - 4.7 2,050.5 Active Active Active

Sewer Pipe Rehabilitation 2761 80 Sewer pipes 3.5 8.3 2,047.0 Active Active Active

Water Pipes Replacement (including cathodic protection) 2773 80 Water pipes 4.2 12.4 2,042.9 Active Active Active

Sewer Pipe Rehabilitation 2800 80 Sewer pipes 4.4 16.8 2,038.5 Inactive Active Inactive

Water Pipes Replacement (including cathodic protection) 2812 80 Water pipes 5.4 22.2 2,033.1 Inactive Active Inactive

Bulk services bins 3322 80 Landfill - 22.2 2,033.1 Active Active Active

Bulk services bins 3324 80 Landfill 0.0 22.3 2,033.0 Active Active Active

Bulk services bins 3326 80 Landfill 0.0 22.3 2,033.0 Inactive Active Inactive

GPS Tracking System 5004 80 Heavy fleet - 22.3 2,033.0 Active Active Active

GPS Tracking System 5005 80 Heavy fleet 0.3 22.5 2,032.7 Active Active Active

Ad-hoc Capital Projects

Service Asset Sub-Asset Useful Life Nominal Cost

Project Name Project ID Class Class (Years) ($)

ABCDE Recreational Swimming pool 30 20,000,000New Swimming Pool

The money has to

come from

somewhere, so let’s

switch off $20M

worth of projects

29

Financial Year FY 13/14A FY 14/15E FY 15/16E FY 16/17E FY 17/18E FY 18/19E FY 19/20E FY 20/21E FY 21/22E FY 22/23E

Year Number Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10

Base caseCapex PM Score 6.53 6.62 6.57 6.53 6.48 6.36 6.67 6.59 7.01 7.10

Risk Score 7.72 7.18 7.34 7.46 7.48 7.50 7.51 7.46 7.49 7.50

O&M PM Score 7.74 7.58 7.63 7.62 7.60 7.62 7.61 7.58 7.60 7.60

Risk Score 6.63 6.71 6.66 6.58 6.52 6.43 6.76 6.67 6.77 6.64

LoS PM Score 7.59 7.03 7.19 7.30 7.31 7.33 7.34 7.30 7.32 7.33

Risk Score 6.96 6.77 6.82 6.80 6.78 6.80 6.80 6.78 6.79 6.79

Scenario 1 - new swimming poolCapex PM Score 5.61 5.69 5.64 5.61 5.57 6.10 6.70 5.66 5.73 5.65

Risk Score 6.63 6.17 6.31 6.41 6.42 6.45 7.61 6.41 6.43 6.44

O&M PM Score 6.65 6.51 6.56 6.54 6.53 6.54 7.00 6.51 6.52 6.53

Risk Score 5.70 5.76 5.72 5.65 5.60 5.52 6.54 5.73 5.82 5.71

LoS PM Score 6.52 6.04 6.17 6.27 6.28 6.30 7.00 6.27 6.29 6.30

Risk Score 5.98 5.81 5.86 5.84 5.83 5.84 6.70 5.82 5.83 5.83

INTERPRETING LCCAMP MODEL

RESULTS

1

30


RESULTS Financial Year FY 13/14A FY 14/15E FY 15/16E FY 16/17E FY 17/18E FY 18/19E FY 19/20E FY 20/21E FY 21/22E FY 22/23E



Risk Score 7.72 7.18 7.34 7.46 7.48 7.50 7.51 7.46 7.49 7.50

O&M PM Score 7.74 7.58 7.63 7.62 7.60 7.62 7.61 7.58 7.60 7.60

Risk Score 6.63 6.71 6.66 6.58 6.52 6.43 6.76 6.67 6.77 6.64

LoS PM Score 7.59 7.03 7.19 7.30 7.31 7.33 7.34 7.30 7.32 7.33

Risk Score 6.96 6.77 6.82 6.80 6.78 6.80 6.80 6.78 6.79 6.79


Risk Score 6.63 6.17 6.31 6.41 6.42 6.45 7.61 6.41 6.43 6.44

O&M PM Score 6.65 6.51 6.56 6.54 6.53 6.54 7.00 6.51 6.52 6.53

Risk Score 5.70 5.76 5.72 5.65 5.60 5.52 6.54 5.73 5.82 5.71

LoS PM Score 6.52 6.04 6.17 6.27 6.28 6.30 7.00 6.27 6.29 6.30

Risk Score 5.98 5.81 5.86 5.84 5.83 5.84 6.70 5.82 5.83 5.83

2

31





Risk Score 7.72 7.18 7.34 7.46 7.48 7.50 7.51 7.46 7.49 7.50

O&M PM Score 7.74 7.58 7.63 7.62 7.60 7.62 7.61 7.58 7.60 7.60

Risk Score 6.63 6.71 6.66 6.58 6.52 6.43 6.76 6.67 6.77 6.64

LoS PM Score 7.59 7.03 7.19 7.30 7.31 7.33 7.34 7.30 7.32 7.33

Risk Score 6.96 6.77 6.82 6.80 6.78 6.80 6.80 6.78 6.79 6.79


Risk Score 6.63 6.17 6.31 6.41 6.42 6.45 7.61 6.41 6.43 6.44

O&M PM Score 6.65 6.51 6.56 6.54 6.53 6.54 7.00 6.51 6.52 6.53

Risk Score 5.70 5.76 5.72 5.65 5.60 5.52 6.54 5.73 5.82 5.71

LoS PM Score 6.52 6.04 6.17 6.27 6.28 6.30 7.00 6.27 6.29 6.30

Risk Score 5.98 5.81 5.86 5.84 5.83 5.84 6.70 5.82 5.83 5.83

3

32





Risk Score 7.72 7.18 7.34 7.46 7.48 7.50 7.51 7.46 7.49 7.50

O&M PM Score 7.74 7.58 7.63 7.62 7.60 7.62 7.61 7.58 7.60 7.60

Risk Score 6.63 6.71 6.66 6.58 6.52 6.43 6.76 6.67 6.77 6.64

LoS PM Score 7.59 7.03 7.19 7.30 7.31 7.33 7.34 7.30 7.32 7.33

Risk Score 6.96 6.77 6.82 6.80 6.78 6.80 6.80 6.78 6.79 6.79


Risk Score 6.63 6.17 6.31 6.41 6.42 6.45 7.61 6.41 6.43 6.44

O&M PM Score 6.65 6.51 6.56 6.54 6.53 6.54 7.00 6.51 6.52 6.53

Risk Score 5.70 5.76 5.72 5.65 5.60 5.52 6.54 5.73 5.82 5.71

LoS PM Score 6.52 6.04 6.17 6.27 6.28 6.30 7.00 6.27 6.29 6.30

Risk Score 5.98 5.81 5.86 5.84 5.83 5.84 6.70 5.82 5.83 5.83

4

33


RESULTS

LoS

PM Score: 7.59

Risk Score: 6.96


Cost of Service Score (risk): 1.59

CS Score (PM) 8.07


CapexPM Score: 6.53

Risk Score: 7.72


Capex Budget: 30.0M

O&MPM Score: 7.74

Risk Score: 6.63

O&M Forecast: 99.8M

O&M Budget: 100.0M

Dashboard summary – BASE CASE

34


RESULTS Dashboard summary – NEW SWIMMING POOL

CapexPM Score: 5.61

Risk Score: 6.63


Capex Budget: 30.0M

O&MPM Score: 6.65

Risk Score: 5.70

O&M Forecast: 101.8M

O&M Budget: 100.0M

LoS

PM Score: 6.52

Risk Score: 5.98


Cost of Service Score (risk): 1.59

CS Score (PM) 8.07


35

TO BUILD OR NOT TO BUILD?

With the correct data, and granularity of data, LCCAMP can

provide clear answers (like in this example).

The tool serves to help a council make an informed

decision.

It doesn’t make the decision and can’t replace qualitative

assessment and conversation about asset options – but

information should help this conversation.

36

THANK YOU

Introducing the LCCAMP Model - MAV website€¦ · INTRODUCING THE LCCAMP MODEL . ASSET MANAGEMENT...

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